The  Efficient  Purchase 

and 

Utilization  of  Mine  Supplies 


BY 
HUBERT   N.    STRONCK,    E.  M. 

Consulting  Industrial  Engineer,  Member  A.  7.  M.  E., 
Am.  Mining  Congress 

AND 

JOHN    R.    BILL  YARD,    E.  M. 

Mining  Engineer 


FIRST  EDITION 

FIRST   THOUSAND 


NEW  YORK 

JOHN    WILEY    &    SONS,    INC. 

LONDON:    CHAPMAN  &  HALL,   LIMITED 

1917 


s 


COPYRIGHT,  1917, 

BY 
HUBERT  N.  STRONCK 


Stanbopc 

H.GILSON   COMPANY 
BOSTON,  U.S.A. 


THE     EFFICIENT    PURCHASE 

AND    UTILIZATION    OF 

MINE    SUPPLIES 

INTRODUCTION. 

In  the  past,  the  stores  department  of  the  mining  and 
smelting  industries  has  been  given  but  little  attention, 
although  materials  constitute  an  important  cost  item 
in  these  industries.  One  of  the  principles  of  good  man- 
agement is  economy  in  the  purchase  and  consumption 
of  supplies.  Material  costs  constitute  an  integral  part 
of  the  total  production  costs,  and  are  often  a  basis 
for  good  or  bad  management.  A  great  number  of  our 
mines  and  smelters  are  situated  at  a  distance  from 
the  large  manufacturing  centers,  so  that  the  time  of 
delivery  of  materials  is  long,  and  the  cost  of  trans- 
portation is  high,  which  adds  to  the  total  cost  of  mate- 
rials. It  is  of  utmost  importance  that  supplies  be  on 
hand  when  needed,  otherwise  a  serious  loss  in  working 
time  may  occur  due  to  waiting  for  material  which  should 
have  been  on  hand. 

The  store  should  be  considered  as  a  separate  depart- 
ment or  an  entirely  separate  business.  It  should  have 
complete  charge  of  buying,  receiving,  storing,  and  local 
delivery  of  all  supplies. 

359181 


2  lHE;  EFFICIENT  PURCHASE  AND 

Mining  men  are,  as  a  rule,  technical  men,  and  unfor- 
tunately many  of  them  have  no  training  as  to  business 
methods  and  forms.  In  the  following  discussion  the 
entire  subject,  from  purchasing  to  use,  will  be  described 
in  detail,  with  hopes  that  it  will  give  suggestions  of  some 
use  to  men  engaged  in  the  mining  and  metallurgical 
fields.  Stress  is  laid  on  systems  for  large  operating 
companies,  with  simplified  methods  for  smaller  concerns. 
Many  illustrations  and  suggestions  are  given.  They 
must  be  looked  upon  as  suggestive,  and  must  not  be 
rigidly  followed  without  considering  whether  some  modi- 
fication should  not  be  introduced  to  meet  the  require- 
ments of  the  particular  case  in  point. 

The  greater  part  of  this  material  has  been  gathered 
from  observations  and  notes,  and  some  has  been  taken 
from  articles  in  current  technical  magazines  and  ex- 
tracts from  books  on  the  Science  of  Management. 


THE  LAWS   OF  MAXIMUM   ECONOMY. 

To  insure  maximum  economy,  the  following  laws  must 
be  complied  with: 

1.  Materials   must   be   purchased   from    the   lowest 
priced  firms  when  materials  are  at  their  lowest  prices. 

2.  Materials  must  come  up  to  the  contracted  ex- 
cellence in  quality. 

3.  The  quantity  purchased  must  be  obtained. 

4.  Materials  must  be  delivered  at  the  specified  time. 

5.  Materials  must  be  properly  housed  and  stored. 

6.  There  must  be  no  unnecessary  waste  of  material. 

7.  No  losses  must  occur,  except  through  waste. 


UTILIZATION  OF  MINE   SUPPLIES  3 

In  order  to  comply  with  the  above  laws,  we  must  have : 

(a)  A  well-organized  purchasing  department. 

(b)  An  efficient  receiving  and  testing  department. 

(c)  A  proper  stores  system,  with  accurate  accounting. 

(d)  An  issuing  system  which  fixes  the  responsibility. 

(e)  Reports  which  show  the  consumption  of  materials. 
(/)  Methods  which  will  prevent  waste  in  the  use  of 

materials. 

(a)   Purchasing  Department. 

There  should  be  a  special  function  of  Purchasing  in 
charge  of  a  competent  purchasing  agent.  The  resident 
agent  should  attend  to  the  purchase  of  all  general  sup- 
plies such  as  are  used  in  everyday  consumption.  For 
large,  special  orders,  he  should  co-operate  with  an  agent 
in  the  city  office,  who  may  be  able  to  obtain  quotations 
and  deliveries  on  special  large  orders  more  expeditiously 
and  economically  than  the  resident  agent.  In  the  fol- 
lowing, Purchasing  is  discussed  as  a  function  and  does 
not  imply  that  this  should  be  the  sole  duty  of  one  man, 
in  all  cases. 

The  purchasing  agent  is  the  man  who  acts  as  the 
safety  valve  of  the  company.  He  should  have  a  working 
knowledge  of  the  particular  industry  for  which  he  is  to 
purchase  materials.  If  he  has  a  working  knowledge  of 
the  properties  of  materials,  of  their  use,  of  the  production 
or  manufacturing  of  the  materials,  it  is  so  much  the  better. 
The  average  foremen  or  department  heads  would  buy 
according  ito  their  own  judgment  without  considering 
the  condition  of  the  market,  the  reliability  of  the  firms 
from  whom  they  would  .purchase,  the  comparative 


4  THE   EFFICIENT  PURCHASE  AND 

prices  of  materials,  etc.  To  secure  the  most  desirable 
delivery  involves  a  knowledge  of  business  methods  and 
forms.  It  is  impossible  for  the  purchasing  agent  of  a 
large  concern  to  possess  technical  knowledge  of  all  the 
work,  therefore  he  must  depend  upon  written  records, 
and  have,  these  instantly  available.  If  the  function 
of  buying  is  centralized  in  one  man  or  department,  he 
is  usually  blamed  if  the  materials  do  not  arrive  on 
tune  and  the  work  is  delayed;  hence,  in  order  to  protect 
himself,  he  should  take  no  verbal  orders,  but  in  each 
case  require  a  properly  filled  out  and  signed  requisi- 
tion blank,  which  shows  the  originating  date  of  calls  for 
material.  Also,  written  requisitions  have  the  advan- 
tage that  the  man  who  wants  supplies  is  more  careful 
in  ordering  over  his  own  signature  than  through  a  simple 
verbal  order. 

Catalogue  Files.  As  an  aid  to  the  purchasing  agent, 
there  should  always  be  on  hand  and  properly  filed  and 
indexed,  catalogues  of  several  supply  companies,  to- 
gether with  complete  price  lists. 

There  are  five  general  methods  of  filing: 

1.  Alphabetic  —  by  name. 

2.  Numeric  —  an  arbitrary  number  assigned  to  each 
firm  or  subject. 

3.  Automatic  Index  —  a  combination  of  alphabetic 
and  numeric. 

4.  Geographical  —  by  names  of  places. 

5.  Subject  Classification  —  classified  numeric  or  let- 
ter system,  in  which  materials  are  arranged  by  correlated 
subjects  so  that  related  matter  is  grouped  in  numeric 
or  alphabetic  letter  order,  based  on   the  principles  of 


UTILIZATION  OF   MINE   SUPPLIES  5 

the   Dewey   Decimal   Classification   or   the   Mnemonic 
Classification. 

The  alphabetic  filing  of  catalogues  and  price  lists 
would  be  the  simplest,  since  no  index  would  be  neces- 
sary; however,  it  has  the  great  disadvantage  that  the 
filing  space  cannot  be  arranged  properly.  Catalogues 
vary  in  size  from  a  mere  sheet  of  paper  or  pamphlet, 
to  large,  elaborate  volumes.  An  alphabetical  arrange- 
ment would  promiscuously  mix  large  volumes  and  small 
pamphlets,  so  that  a  dictionary-sized  book  might  have 
to  be  placed  next  to  a  small  pamphlet.  Filing  space 
could  not  be  efficiently  utilized. 

The  most  adaptable  method  is  filing  according  to  the 
number  system.  By  this  method,  a  letter  is  assigned 
to  each  group,  "  A  "  to  the  largest  size,  "  B  "  to  the 
next  in  size,  etc.  In  the  "  A  "  file  compartments,  the 
catalogues  are  numbered  consecutively  from  "  i  "  up. 
Similarly  with  the  "  B  "  compartments  and  the  remain- 
ing compartments.  The  compartment  letter  and  cat- 
alogue number  is  written  on  a  gummed  label,  and  this 
pasted  on  the  corner  of  the  catalogue. 

Each  catalogue  is  now  indexed  in  two  ways: 

1.  By  name  of  the  dealer  or  manufacturer  issuing  it. 

2.  By  name  of  the  article. 

The  Dealers'  cards  should  show  the  name  and  address 
of  the  dealer,  the  articles  which  they  sell,  the  file  com- 
partment letter  and  the  catalogue  number.  See  Fig. 
i.  The  cards  are  filed  alphabetically  according  to  the 
dealer's  name. 

A  simple  card  register  should  be  kept  for  each  series 


6  THE   EFFICIENT   PURCHASE   AND 

of  catalogue  numbers,  with  the  name  of  the  dealer  who 
issued  the  catalogue  after  each  serial  number.  This 
is  for  the  purpose  that  one  may  know  what  numbers 
have  been  used,  and  what  number  will  be  assigned  to 
the  next. 


Name                                  Mining-  Supply  Co  , 

Address                                           .Denver,  Co  Jo. 

Articles 

Dr.  Ko. 

Cat.  No. 

Shovels 

A 

8 

Picks 

A 

8 

Cars 

B 

1 

FIG.  i. 

«. 

Generally  a  requisition  gives  only  the  name  of  the 
article,  without  telling  the  make,  or  it  may  be  made 
by  several  concerns,  hence  an  article  index  should  be 
made.  A  card  is  used  for  each  article  which  is  likely  to 
be  called  for.  The  name  of  the  article  appears  on  the 
card,  followed  by  names  of  the  different  concerns  that 
make  it,  and  giving  the  file  compartment  number,  the 
catalogue  number,  and  the  page.  See  Fig.  2.  These 
cards  are  filed  alphabetically  according  to  the  name  of 
the  article. 

Where  a  considerable  number  of  books  and  lists  have 
accumulated,  they  may  be  classified  according  to  the 


UTILIZATION  OF  MINE   SUPPLIES 


7 


Dewey  System,  and  arranged  numerically.  The  Dewey 
System  of  classification,  applied  to  engineering  subjects, 
is  fully  described  in  bulletins  issued  on  that  subject  by 
the  Colorado  School  of  Mines  and  the  University  of 
Illinois.  It  is  used  to  a  large  extent,  as  an  aid  in  filing 


Article                                   Shovels 

Name 

Page 

Dr.  No. 

Cat.  No. 

Mining  Supply  Co. 

56 

A 

8 

Wyoming  TShovel  Co. 

7 

G 

2 

FIG.  2. 

clippings  from  technical  periodicals,  and  has  proved 
entirely  practical.  Another  method  of  classification 
which  is  rapidly  coming  into  use  is  the  Mnemonic 
System,  used  in  the  classification  of  stores,  tools,  charges, 
etc.,  in  shops  operated  under  Scientific  Management. 
This  is  a  splendid  method,  since  it  is  an  aid  to  the 
memory  in  recalling  names,  and  also  when  the  classified 
subjects  are  filed  alphabetically  according  to  the  classi- 
fication, like  subjects  will  be  brought  together  in  the  file. 
The  system  of  classification  and  filing  for  such  sub- 
ject matter  should  be  considered  from  the  volume  of 
material  to  be  filed.  If  the  amount  and  number  of  sub- 


8  THE   EFFICIENT  PURCHASE  AND 

jects  are  small,  a  simple  system  will  give  entire  satis- 
faction, while  where  large  amounts  are  to  be  handled,  a 
more  detailed  and  extensive  method  must  be  considered. 
The  entire  object  of  a  filing  system  is  to  see  that  mate- 
rials are  easily  located,  and  any  method  may  be  con- 
sidered that  gives  satisfaction  in  that  manner. 

Special  Quotations.  In  some  cases,  quotations  are 
requested,  at  intervals,  for  such  materials  as  are  regu- 
larly used.  To  secure  uniformity,  printed  cards  are 
made  out,  which  list  all  materials,  and  sent  to  different 
sellers.  Another  method  is  to  send  out  schedules  of 
requirements  and  to  request  bids.  There  are  two  cases: 

1.  Where  a  bid  is  requested  for  a  particular  article 
or  lot  of  goods,  and 

2.  Where  a  bid  is.  requested  for  the  regular  supply  of 
certain  goods  for  a  period  of  six  or  twelve  months. 

Bids  differ  only  from  quotations  in  that  they  are  more 
formal.  For  a  bid,  various  instructions  and  condi- 
tions are  given,  and  a  form  of  bid  is  appended. 

Contracts  are  almost  always  made  for  the  supply  of 
the  principal,  regular  requirements  of  a  mine,  for  six 
or  twelve  months,  i.e.,  for  timber,  dynamite,  coal,  etc. 
Even  for  a  supply  of  such  things  as  oils  and  cotton 
waste,  it  is  good  to  contract  for  a  period,  since  usually  a 
little  is  saved  thereby,  and  it  also  relieves  the  purchasing 
agent  of  the  trouble  of  constant  buying. 

The  prices  of  some  materials  are  subject  to  market 
fluctuations.  Where  the  items  are  of  importance,  a 
study  and  record  should  be  kept  of  these  fluctuations, 
so  that  advantages  may  be  taken  of  the  market. 


UTILIZATION  OF   MINE   SUPPLIES  9 

Correspondence  and  General  Price  List.  If  there  is 
a  good  central  filing  department,  the  purchasing  agent 
need  not  file  his  correspondence  separately.  If  not, 
he  can  easily  arrange  one  of  his  own.  Letters  are  usu- 
ally filed  alphabetically  according  to  the  name  of  the 
concern.  This  groups  letters  from  each  firm,  and  the 
letters  of  each  group  are  arranged  chronologically. 

Some  agents  file  quotation  letters  separately,  arranged 
alphabetically  according  to  the  article  on  which  the 
price  is  quoted.  This,  however,  has  its  disadvantages, 
in  the  fact  that  there  is  other  needless  correspondence  in 
the  same  letter,  and  also  the  quotations  may  be  on 
several  kinds  of  articles.  The  best  method  of  keeping 
quotations  is  to  have  a  separate  card  file.  General 
groups  are  made  of  all  articles,  and  these  groups  ar- 
ranged alphabetically.  The  group  separation  is  shown 
by  means  of  a  "  sign  post  "  on  the  group  card.  A  card 
is  filled  out  for  each  kind  of  material  on  which  a  quo- 
tation has  been  received.  The  name  of  the  article  ap- 
pears on  the  top,  and  underneath  is  a  list  of  concerns 
which  offer  the  quotation,  together  with  prices,  terms, 
etc.  See  Fig.  3.  These  cards  are  arranged  alphabeti- 
cally according  to  the  name  of  the  article,  after  each 
main  group. 

It  is  well  that  a  company  knows  what  it  paid  for  the 
material  before,  and  also  have  quotations  from  differ- 
ent concerns  on  the  same  article  grouped  together.  This 
will  help  to  promote  judicious  buying. 

Economic  Amount  to  be  Purchased.  In  many  cases, 
a  better  price  per  unit  can  be  obtained  if  purchased  in 
large  quantities.  Also,  a  reduction  in  freight  rates  or 


10 


THE   EFFICIENT  PURCHASE   AND 


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UTILIZATION  OF  MINE   SUPPLIES  II 

more  rapid  transportation  delivery  may  be  obtained, 
if  car  load  lots  are  gathered  together.  In  the  pur- 
chase of  large  lots  considerably  in  advance  of  their 
actual  use,  one  must  consider  several  added  factors  of 
expense.  These  are,  generally,  interest  on  the  capital 
involved,  storage  expense,  depreciation,  insurance,  etc. 
These  factors  of  expense  must  be  added  to  the  large  lot 
price  to  determine  the  actual  price.  If,  after  con- 
sidering all  these  factors,  the  unit  price  is  still  lower  than 
the  unit  price  if  purchased  in  small  lots,  and  unless 
some  special  factors  enter  the  case,  it  will  .be  economi- 
cally advantageous  to  purchase  in  large  lots.  It  will  be 
noticed  that  this  subject  entails  a  detailed  study  of  many 
conditions. 

Book  of  Standards.  A  standard,  applied  to  materials, 
is  a  carefully  drawn  specification  or  description  of  a 
unit  of  material,  which  is  best  and  most  economical  for 
the  use  to  which  it  is  applied.  It  does  not  imply  per- 
fection. When,  after  rigid  tests,  some  new  kind  of 
material  is  better  than  the  present  standard,  it  super- 
sedes this  as  the  new  standard.  A  standard,  however, 
should  never  be  changed  unless  it  is  proved  beyond 
doubt  that  the  new  kind  is  better.  In  compiling  a  book 
of  standard  materials,  considerable  investigation  and 
testing  is  necessary.  Materials  which  are  used  daily 
in  large  quantities  should  be  considered  first.  Each 
article  is  studied  separately  and  an  investigation  car- 
ried on  to  see  whether  or  not  a  better  one  than  the  one 
in  use  at  the  present  time  can  be  obtained.  In  general, 
this  study  involves  the  use  to  which  the  material  is 
put,  its  connection  with  other  materials  in  use,  number 


12  THE  EFFICIENT  PURCHASE  AND 

of  uses  to  which  it  can  be  put,  life  of  the  article,  its  pur- 
chase price,  delivery  time,  ease  of  storage  and  handling, 
etc.  In  the  study,  the  comparative  method  is  used, 
in  which  similar  articles  made  by  different  manufac- 
turers are  compared  as  to  their  advantages  and  disad- 
vantages. It  will  be  noticed  that  this  method  may  also 
be  used  to  advantage  in  the  selection  of  machines  and 
mechanical  equipment. 

After  the  best  material  for  the  purpose  has  been  de- 
termined, a  complete  description  of  it  is  made  on  a  sheet 
of  loose  leaf  paper,  and  filed  in  a  loose  leaf  book.  A 
card  system  may  be  used,  but  the  paper  has  the  ad- 
vantage that  several  carbon  copies  can  be  made,  so  that 
several  copies  of  the  book  can  be  produced  at  the  same 
time.  The  filing,  or  arranging  in  the  book,  is  usually 
done  alphabetically,  although  a  card  index  method  may 
be  used.  A  copy  of  this  book,  kept  up  to  date,  should 
be  in  the  hands  of  the  purchasing  agent,  one  for  the 
store-keeper,  one  for  the  auditor,  and  one  which  is  avail- 
able to  all.  When  anything  is  to  be  purchased,  the  pur- 
chasing agent  must  refer  to  the  Book  of  Standards,  and 
if  the  article  is  already  specified  in  that  book,  he  must 
purchase  according  to  those  specifications.  In  case  any 
new  kind  of  material  is  needed,  the  book  should  first  be 
consulted  to  see  whether  or  not  an  already  specified 
standard  could  be  used  for  the  purpose. 

Many  direct  and  indirect  advantages  are  gained  by 
the  use  and  maintenance  of  standards. 

1.  The  best  quality  for  each  purpose  is  obtained. 

2.  The  lowest  purchase  price,  since  a  standard  can 
usually  be  ordered  in  larger  lots. 


UTILIZATION  OF  MINE   SUPPLIES  13 

3.  Storage  place  permanently  fixed. 

4.  The  workmen  become  accustomed  to  that  par- 
ticular type. 

Purchase  Orders.  Purchase  orders  are  usually  made 
out  on  a  regular  purchase  order  blank,  and  signed  by 
the  purchasing  agent  or  an  authorized  representative. 
A  simple  method  is  one  in  which  the  order  is  made  out  in 
duplicate.  The  original  is  sent  to  the  firm  from  whom 
the  purchase  is  to  be  made,  and  the  carbon  copy  re- 
tained in  the  purchase  order  book.  When  the  goods 
arrive,  they  are  checked  on  the  order  in  the  book,  and 
any  mistakes  noted.  This  method  is  sufficient  for  small 
concerns,  but  for  large  concerns,  where  the  connection 
between  the  buyer  and  the  receiver  is  not  so  close,  a 
more  elaborate  method  must  be  used. 

A  good  system,  used  by  many,  is  one  in  which  three 
forms  are  used,  the  original,  the  duplicate,  and  the  ac- 
knowledgment. These  are  made  out  in  triplicate  by 
means  of  carbon  paper.  Each  order  made  out  is  given  a 
consecutive  number.  Referring  to  an  order  by  number 
is  the  easiest  way.  The  original  and  the  acknowledg- 
ment'are  sent  to  the  purchasee,  and  the  duplicate  kept 
in  the  office  as  a  permanent  record.  The  firm  which 
receives  the  order  is  requested  to  fill  out  the  acknowl- 
edgment and  return  it  at  once.  On  this  acknowledg- 
ment they  are  to  place  the  promised  delivery  date, 
and  when  it  is  returned,  it  is  filed  by  the  purchasing 
agent.  When  the  person  who  requisitioned  the  goods 
wants  to  know  when  they  will  arrive,  the  agent  can 
give  him  definite  information.  An  order  register  is 
kept,  so  that  knowing  the  number,  one  can  easily  tell 


14  THE  EFFICIENT  PURCHASE  AND 

what  the  order  is.  This  order  register  consists  of  a 
list  of  the  orders  arranged  in  sequence  according  to  the 
order  number.  The  duplicate  orders  are  filed  alphabeti- 
cally according  to  the  name  of  the  purchasee.  When 
the  acknowledgment  is  returned,  it  is  clipped  to  the 
duplicate  order,  and  checked  out  when  the  goods  are 
received. 

A  still  more  accurate  and  better  method,  which  is 
especially  adapted  to  large  concerns,  but  may  also  be 
used  to  advantage  by  smaller  concerns,  is  the  one  used 
in  Scientific  Management.  The  purchase  order  is  made 
out  in  triplicate  on  a  special  blank.  The  original, 
which  is  sent  to  the  purchasee,  requests  an  acknowledg- 
ment of  the  order  and  a  promised  delivery  date.  This 
may  be  appended  in  the  form  of  a  detachable  stub. 
When  the  promised  date  of  delivery  is  received,  it  is 
entered  on  the  two  copies,  and  the  copies  filed  in  a 
"  tickler  "  or  reminder  file,  to  come  out  at  that  date, 
or  a  time  a  little  previous.  When  this  time  arrives,  one 
copy  is  placed  on  the  purchasing  agent's  desk,  and  the 
other  sent  to  the  store-keeper.  The  store-keeper's  copy 
contains  only  the  names  of  the  articles,  and  not  the 
number  of  each.  The  purpose  of  this  is  that  the  re- 
ceiver must  make  a  careful  count,  and  enter  the  quan- 
tities opposite  the  names,  not  merely  check  off  a  given 
quantity.  The  carbon  paper  used  for  this  copy  is  of  a 
narrower  width,  so  that  the  quantities  are  not  written 
through  from  the  first  two  slips.  This  copy  notifies  the 
store-keeper  that  goods  are  expected  to  arrive,  so  that 
he  can  make  advance  arrangements  for  receiving  them. 
See  Fig.  4. 


UTILIZATION  OF  MINE  SUPPLIES 


The  reminder  file  method  is  in  use  at  a  great  many 
concerns  for  various  purposes.    A  file  compartment,  or 


PURCHASE  ORDER                                       THE  REX  MINING  CO. 

Purchase.  Nn.                                                          Talr.rt,  Clnln.                                191 

Charge,  in 

To 

Gentlemen:-  Kindly  ship  us  the  following 
•material  via                                                               nnt  later 

than 

191 

Amount 

Articles 

Price 

Terms 
Purchasina  Anen.t 

Note:   Our  Purchase  Number  must  appear  on  your 
invoice,  otherwise  invoice  will  be  returned  for  correction. 

ACKNOWLEDGEMENT                                      THE  REX  MINING  CO. 

Purchase  No. 

Tnlca.  Coin.                               191 

Please  fill  in  shipment  date  and  return 
this  stub  at  once. 
Date.                                                                Purchases 

FIG.  4. 

simply  an  envelope,  is  used  for  each  day  of  the  year,  and 
the  reminder  slips  filed  in  the  compartment  or  envelope 


1 6  THE  EFFICIENT  PURCHASE  AND 

which  represents  the  day  on  which  they  are  to  be  issued. 
For  some  purposes,  one  compartment  or  envelope  is 
made  out  for  each  hour  of  the  day,  or  even  smaller  sub- 
divisions, and  each  morning  the  slips  in  that  file  are 
sorted  in  the  hour,  or  fraction  of  an  hour,  file.  The 
"  tickler  "  file  can  be  put  to  many  uses. 

Still  another  method  of  following  and  checking  the 
progress  of  a  purchase  order  is  by  means  of  a  Purchase 
Schedule,  as  illustrated  in  Fig.  4a.  The  principles  of 
this  method  have  proved  to  be  very  efficient  and  they 
have  a  wide  field  of  application.  A  complete  chrono- 
logical history  of  each  order  is  obtained  by  this  method. 

(b)    Receiving  and  Testing. 

It  is  essential  that  the  quantity  and  quality  of  the 
materials  purchased  is  actually  obtained.  One  of  the 
most  fruitful  causes  of  losses  in  large  concerns  which 
do  not  have  a  good  receiving  system  is  shortness  in 
weight,  amount,  or  quality,  due  either  to  mistakes, 
negligence,  or  dishonesty  on  part  of  their  employees 
or  others.  The  person  in  charge  of  the  function  of 
Receiving  should  be  held  responsible  for  the  accuracy 
of  the  statements  of  materials  received  which  he  for- 
wards to  the  purchasing  agent.  The  purchasing  agent 
checks  these  figures  against  his  copy  of  the  purchase 
order  and  the  invoice.  When  all  is  found  correct,  he 
notifies  the  auditor  to  that  effect,  who  credits  the  ship- 
ping concern  with  the  amount  of  the  invoice.  Where 
the  store-keeper  has  a  copy  of  the  purchase  order  of  the 
received  material,  it  is  best  that  the  quantities  are  not 
shown,  as  previously  explained,  since  he  will  be  more 


UTILIZATION  OF  MINE  SUPPLIES 


PURCHASE  SCHEDULE 

^ 

Month  of  March 

*s 

i 

Answer 
to  Tracer 

^ 

^ 

®t 

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<8 

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cc 

h 

BS 

SS 

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Received 

-f^ 

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(^ 

Wanted 

o 

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'Promised 

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S3 

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Bill  of  Material 

Requisiton 

Ordered 

r^ 

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>H 

1 

ig  'mi.    I.I  I  M  II  M     I'lIKCIIASK    AND 

careful   in   tin-  <<>un1,  and   it    will   he  easier  to  discover 
(li.,<  repaiH  ic:,.      ll    i:>  al;,o  well   l<>  notify  Hie  person  who 


Nfi.me  Date 


on/,  -ml  by  you  an  /><T 

requisition  No.  _  ,      Purchane  No.  _ 
have  arrived,  and  arc  to  be  inspect  a  /.. 


Storekeeper 


Fio,  5. 

issued  the  requisition  that  the  goods  have  arrived.  Fig. 
s  illustrates  a  form  of  notification.  It  is  also  best,  at 
times,  that  the  person  who  requisitioned  the  goods 


PUKC/IASIM  AOKNT:  Dutr. 


Materials  as  per  Req.  No.. 


Purchase  No.—    ,      have  been  inspected 

hi/  in,'  1 1,  is  d<ty  and         \  ,,„''"„<  |  conform 

as  to  quality. 


Hiyncd 


Fio.  6. 

inspects  these  jjoods  as  to  (jiiality  or    usefulness. 

6  is  a  form  of  notification  which  he  sends  to  the  pur- 

aj',ent.     Alter  eounl  and   inspirtion,  (he   filled- 


or   MINT;  SUPPLIES  19 

in  store-keeper's  slip  is  ',cni   to  tin-  per:, on  in  charge  of 
torefl  records,  so  that  he  may  enter  the  good     afl 
'•d  either  on  his  card  record:,  or  in  his  balance  of 
stores  book. 

Some  concerns  have  special  testing  departments  in 
which  many  of  the  important  materials  are  tested  by 
experts,  who  see  that  they  conform  to  the  contracted 
excellence  in  quality,  or  are  rejected.  If  the  function  of 
'I  e  ling  is  in  use,  and  it  should  be  at  least  to  a  minor 
extent,  the  person  in  charge  of  this  function  should  be 
notified  when  the  materials  have  arrived.  He  then 
passes  on  the  quality  and  notifies  the  proper  person  as 
to  the  result  of  his  tests. 

(c)    Stores  System. 

Store-keeping  is  essential  in  principle  to  banking,  the 
only  difference  being  that  bulky  materials  are  handled 
instead  of  money.  It  should  no  more  be  possible  to 
obtain  material  from  the  store-room  without  a  properly 
signed  requisition  than  it  is  possible  to  obtain  money 
from  a  bank  without  a  signed  check.  Just  as  the  bank 
is  held  responsible  for  all  moneys  received  by  it,  and  has 
to  produce  either  the  cash  or  the  canceled  checks  upon 
demand,  so  should  the  store-room  be  required  to  produce 
either  the  material  with  which  it  is  charged  or  the 
requisitions  upon  which  it  has  issued  the  materials. 
If  the  above  principles  are  kept  in  mind,  and  the  simi- 
larity to  banking  remembered,  it  will  be  easy  to  follow 
the  description  of  store-room  systems  for  large  concerns. 

The  efficiency  of  a  store-room  system  may  be  con- 
sidered under  three  principles: 


20  THE  EFFICIENT  PURCHASE  AND 

1.  All  materials  not  in  actual  use  should  be  in  the 
store-room  or  place  of  storage.     They  should  remain 
there  until  issued  for  actual  use.     Materials,  the  use 
of  which  is   temporarily   discontinued,   should   be   re- 
turned to  the  store-room  until  again  used,  when  they  are 
re-issued. 

2.  A  set  of  records  must  be  kept  which  will  show 
at  any  time  the  exact  amount  of  any  kind  of  material 
on  hand,  or  which  has  been  apportioned  to  a  given  job 
or  set  of  jobs,  the  material  ordered,  and  the  quantity 
available  for  any  purpose.     The  records  should  be  in 
such  a  form    that  they  can  be    checked  at  any  time 
against  the  quantities  in  the  store-room. 

3.  Any  piece  or  lot  of  material  received  in  the  store- 
room must  be  acknowledged  and  receipted  for,  and  the 
acknowledgment  and   receipt   must   pass  through   the 
hands  of  the  clerk  in  charge  of  the  records.     No  piece 
or  lot  should  be  issued  from  the  store-room  without  an 
order  or  requisition  signed  by  a  proper  authority. 

Location  of  Store-rooms.  The  location  of  a  store- 
room must  be  central  to  all  departments  to  insure  a 
minimum  cost  of  delivery  from  the  store  to  the  work. 
It  is  equally  as  important  that  it  be  situated  on  a  rail- 
road spur  so  that  all  shipments  of  supplies  may  be  re- 
ceived directly  from  the  cars  and  stored  without  extra 
haulage.  For  fire  protection,  the  timber  yards  should 
be  at  some  distance  from  the  store,  and  the  oil  storage 
and  powder  magazine  placed  well  away  from  the  other 
buildings.  All  materials  of  an  inflammable  nature 
should  be  so  stored  that  they  will  not  only  be  protected 
from  danger  of  ignition  themselves,  but  must  be  so 


UTILIZATION  OF  MINE  SUPPLIES  21 

located  as  not  to  add  an  additional  risk  to  the  other 
buildings. 

Arrangement  of  Store-room.  Store-houses  must  be  so  ar- 
ranged that  no  losses  due  to  the  following  causes  will  occur : 

1.  Bad  storage,  which  causes  actual  deterioration  of 
materials. 

2.  Storage  which  makes  it  possible  for  unauthorized 
persons  to  gain  access  to  the  store-room  and  steal  or 
pilfer  materials. 

3.  Losses  through  waste. 

One  of  the  best  designs  for  a  mine  warehouse  is  one 
on  the  principle  of  a  railroad  freight  shed,  i.e.,  it  should 
have  platforms  on  all  sides,  and  doors  so  spaced  so  that 
cars  and  trucks  can  be  placed  alongside  any  part  of  the 
building  for  unloading  or  for  loading  purposes.  The 
size  of  the  warehouse  is  controlled  by  the  nature  and 
the  quantity  of  the  materials  to  be  stored.  One  must 
first  consider  all  stores  material.  Certain  materials^ 
owing  to  their  nature  and  bulk  cannot  be  stored  under 
cover,  or  in  the  warehouse  proper.  These  are  usually 
gathered  together  in  stock  piles. 

Stock  Piles.  Materials  usually  stored  in  stock  piles 
consist  of  lumber,  ties,  mine  timber,  heavy  rails,  rough 
castings,  structural  steel  and  iron,  large  pipes,  bricks 
and  stones,  etc.  The  arrangement  of  each  pile  depends 
upon  the  nature  of  the  material.  High-priced  lumber 
should  be  stored  in  racks  slightly  above  the  ground, 
so  as  to  prevent  rapid  deterioration  due  to  decay.  The 
material  once  located  should  have  a  lot  number  which 
should  appear  on  the  pile  or  piece.  The  place  once 


22  THE  EFFICIENT  PURCHASE  AND 

allotted  to  a  particular  kind  of  material  should  never  be 
allowed  to  have  but  that  particular  kind  upon  it.  Should 
this  material  be  replaced  by  another  kind  or  done  away 
with,  then  the  location  becomes  available  for  a  new 
item.  The  clearance  between  stocks  used  for  aisles 
should  be  sufficiently  wide  for  handling  purposes. 
Material  on  the  piles  must  be  arranged  in  such  a  manner 
that  it  can  be  quickly  counted  or  measured.  Also,  the 
facility  with  which  the  material  can  be  handled  must 
be  kept  in  mind,  for  instance,  big,  heavy  plates  should 
be  arranged  in  racks,  vertically  and  on  rollers.  The 
physical  arrangement  should  be  such  as  to  insure  sta- 
bility and  self-protection  against  the  elements. 

Oils  and  Explosives.  Explosives  or  easily  inflam- 
mable materials  should  be  stored  in  special  buildings  at 
a  distance  from  the  other  buildings.  There  is  generally 
a  special  oil  storage  house  and  a  powder  magazine. 
Oils  and  liquids  are  usually  stored  in  tanks,  barrels,  or 
flasks,  and  these  should  be  so  arranged  that  they  can  be 
easily  filled  and  the  liquid  drawn  from  them. 

Powder  Magazines.  Some  mining  companies  in  this 
country  build  the  walls  of  the  magazines  of  masonry 
from  the  waste  rock  of  the  mine.  These  are  tied  to- 
gether crosswise  at  the  top  with  rods.  A  small  ven- 
tilation hole  is  left  in  the  end  walls  near  the  top.  The 
roof  is  built  of  concrete  with  reinforcing  rods,  and  is 
covered  with  a  thin,  smooth  layer  of  cement. 

Other  companies  build  a  number  of  small  magazines 
and  a  shipment  of  powder  is  distributed  among  them. 
This  avoids  the  storage  of  large  quantities  in  one  place. 

In  the  Transvaal,  certain  laws  which  regard  the  con- 


UTILIZATION  OF  MINE  SUPPLIES  23 

struction  and  management  of  powder  magazines  must 
be  complied  with.  The  following  is  a  description  of  a 
magazine  built  to  meet  those  requirements: 

The  magazine  is  erected  on  rocky  ground  at  a  point 
where  there  is  sufficient  depth  of  soil.  Only  the  lightest 
kind  of  material  is  used  for  walls  and  roof.  Solid  arched 
roofs  should  not  be  used.  The  distance  between  the 
floor  and  ceiling  is  6  ft.  6  in.,  in  the  clear.  The  mag- 
azine has  two  compartments.  One  is  called  the  lobby,  is 
accessible  from  the  outside,  and  serves  as  a  room  for  the 
reception  and  delivery  of  explosives.  The  other  room  is 
used  for  storage  only,  and  is  accessible  only  from  the 
lobby.  The  outer  door  to  the  lobby  opens  outward,  is 
faced  with  sheet  iron  about  J  in.  thick,  and  is  supplied 
with  a  strong  lock.  The  compartments  of  the  magazine 
are  ventilated  by  protected  ventilating  channels  in  the 
gables.  The  highest  temperature  allowed  does  not  ex- 
ceed 95  degrees  F.  The  ceiling  is  of  wood,  and  the  in- 
ner sides  are  also  wood  lined.  This  lining  is  about  three 
inches  from  the  walls,  and  the  intervening  space  is 
filled  with  some  non-inflammable,  non-heat-conduct- 
ing material.  The  floor  is  of  wood  and  well  ventilated 
beneath.  It  is  provided  with  a  drain  to  insure  the  dry- 
ness  of  the  magazine.  The  roof  is  of  galvanized  iron, 
and  has  a  wood  lining  immediately  against  the  iron. 
All  nails,  fastenings,  locks,  keys,  and  fittings  are  of  wood, 
brass,  or  copper.  The  magazine  is  fitted  with  a  reliable 
lightning  conductor,  supported  on  a  vertical  post  which 
stands  clear  of  the  building,  not  more  than  18  in.  from 
one  of  the  walls,  and  rises  at  least  6  ft.  above  the  highest 
point  of  the  magazine. 


24  THE  EFFICIENT  PURCHASE  AND 

The  magazine  is  surrounded  by  an  outer  earth  wall, 
and  the  bottom  of  the  inner  slope  of  the  same  is  about 
3  ft.  from  the  sides  of  the  building.  The  earth  has  a 
natural  slope  on  each  side,  is  3  ft.  wide  at  the  top,  and 
as  high  as  the  highest  point  of  the  roof.  The  approach 
to  the  precincts  of  the  magazine  through  the  outer  earth 
wall  has  a  strongly  built  gate  which  is  kept  locked. 
The  door  is  protected  by  an  outer  protecting  earth  wall 
which  entirely  shields  the  entrance.  A  self -registering 
thermometer  is  kept  in  the  storage  room.  A  pair  of 
magazine  shoes  is  kept  in  the  lobby,  and  no  person  is 
allowed  to  enter  the  storage  room  of  the  magazine  ex- 
cept when  wearing  such  shoes,  or  when  barefooted. 

Interior  Arrangement  of  the  Warehouse.  After  one 
has  determined  what  materials  are  to  be  stored  under 
cover  in  the  warehouse,  then  the  size  and  arrangement 
can  be  considered.  For  a  small  warehouse,  the  prob- 
lem of  arrangement  is  simple,  but  for  the  large  type, 
where  many  different  kinds  and  types  are  to  be  stored, 
the  problem  becomes  more  complicated. 

In  some  cases  it  becomes  necessary  to  store  large, 
bulky  material,  not  easily  handled,  but  which  must  be 
placed  under  cover  because  of  its  value,  or  its  deterio- 
ration if  placed  subject  to  the  elements.  This  material 
may  have  to  be  handled  with  cranes,  or  it  might  be  ad- 
visable to  run  a  spur  of  the  railroad  track  into  the  ware- 
house, so  that  the  material  can  be  unloaded  directly 
from  the  cars,  under  cover.  All  such  material  should  be 
stored  in  the  same  part  of  the  warehouse  so  as  to  elim- 
inate as  much  handling  and  moving  as  possible.  The 
floors  or  platforms  of  this  part  must  be  built  in  a  much 


UTILIZATION   OF   MINE   SUPPLIES 


26  THE   EFFICIENT  PURCHASE  AND 

more  substantial  manner  than  the  part  for  the  lighter 
materials.  The  doors  must  be  made  of  a  special  size 
and  type.  One  of  the  best  forms  of  large  doors  is  the 
kind  which  is  suspended  from  above,  and  which  moves 
on  rollers. 

For  the  multitude  of  smaller  articles  that  must  be 
stored  in  the  warehouse,  the  most  satisfactory  arrange- 
ment will  be  that  in  which  bins  of  a  standard  size  are 
used.  These  bins  are  subdivided  and  resubdivided 
on  the  unit  principle.  This  arrangement  permits  the 
most  economical  utilization  of  space,  since  by  it  a  large 
or  small  bin  may  be  had  by  the  simple  process  of  slip- 
ping into  the  larger  bin  one  or  more  smaller  units,  and 
then  allowing  the  material  to  occupy  only  the  space  ac- 
tually required.  At  the  same  time,  if  more  space  is 
required  for  some  particular  material  because  an  un- 
usual quantity  must  be  stored,  this  additional  space 
can  readily  be  obtained  by  removing  the  unit  sub- 
division. 

In  order  to  lay  out  the  space  required  for  any  type 
of  material,  it  is  necessary  to  study  the  needs  of  the 
department  or  departments  which  use  that  material. 
Standards  of  the  maximum  and  minimum  quanti- 
ties to  be  carried  of  each  kind  of  material  must  be 
studied,  and  from  this  data  the  necessary  cubical  con- 
tents of  the  store-room  space  for  this  material  can  be 
determined. 

Standard  Bins.  Store-room  equipment,  as  manufac- 
tured and  placed  on  the  market  by  several  concerns  who 
make  a  specialty  of  this  kind  of  work,  is  made  of  sheet 
steel.  The  three  general  types  are: 


UTILIZATION  OF  MINE  SUPPLIES  27 

1.  Bins  of  the  closed  type. 

2.  Shelves  or  open  type. 

3.  Racks. 

For  special  requirements  any  design  is  made  according 
to  specifications.  The  equipment  is  built  on  the  unit 
principle,  and  the  standards  of  the  unit  size  cover  a 
wide  range.  The  units  are  made  flexible  in  size  by  means 
of  dividers,  so  that  space  can  be  adjusted  either  horizon- 
tally or  vertically.  The  material  for  this  equipment  is 
shipped  "  knocked-down  "  and  can  be  easily  erected 
by  any  workman.  The  important  point  of  this  steel 
equipment  is  that  it  is  fire  retardant.  Where  great  per- 
manency is  desired,  it  might  pay  to  investigate  the 
products  of  several  of  these  concerns. 

Bins  mostly  used,  however,  are  of  wood,  and  can  be 
easily  made  by  the  carpenters  at  the  plant.  In  this 
manner,  special  features  can  be  introduced  and  changes 
made  with  the  least  expense.  The  bin  system  used  may 
be  either  the  single  or  the  double  bin  system.  When 
the  individual  unit  of  the  material  is  small  in  size,  but 
carried  in  large  quantities  and  used  at  a  fairly  uniform 
rate,  the  double  bin  system  has  its  advantages.  The 
issuing  bin  may  be  small  and  placed  close  at  hand,  while 
the  remainder  of  the  material  is  stored  in  a  master  bin 
which  may  be  located  in  a  less  accessible  place.  The 
master  bin  tag,  which  shows  the  total  amount  in  the 
small  issuing  bin  and  in  the  master  bin,  is  suspended 
from  the  issuing  bin.  Also  the  location  of  the  master 
bin  is  shown  on  this  tag. 

Pipe  Racks.  A  special  type  of  rack  is  usually  desir- 
able for  pipes  and  long  rods.  The  best  racks  are  those 


28  THE  EFFICIENT  PURCHASE  AND 

which  permit  the  removal  of  the  pieces  either  length- 
wise or  sidewise.  When  long  pieces  are  handled,  it  is 
evident  that  removing  them  sidewise  is  the  most  de- 
sirable. 

Additional  Space.  Space  must  be  provided  near  the 
entrance  of  the  store-room  so  that  when  goods  are  re- 
ceived there  will  be  ample  space  for  counting  and  check- 
ing these  goods,  and  moving  them  to  the  racks  or  bins. 
Similarly,  space  must  be  left  at  the  issuing  end,  so  that 
the  store-keeper  can  gather  materials  called  for  on  a 
requisition  in  this  space.  These  spaces  should  be  at 
some  distance  apart,  so  that  no  errors  are  made  in  the 
exchange  of  received  and  issued  materials  stored  there. 

If  the  store-room  is  in  a  building  also  used  for  other 
purposes,  the  stores  proper  should  be  partitioned  off 
either  with  a  substantial  wall  or  with  wire  mesh.  The 
doors  should  be  of  the  self-closing  and  self-locking  type, 
so  that  no  one  can  enter  the  store-room  without  the 
knowledge  of  the  store-keeper.  A  call  bell,  which  is 
operated  from  the  outside,  should  be  installed  so  that  the 
store-keeper  can  be  called  to  the  issuing  door  or  window. 

Arrangement  of  Bins.  For  small  warehouses,  or 
where  the  variety  of  materials  is  not  great,  the  bins  or 
racks  may  be  arranged  in  alphabetical  order.  This 
method,  however,  has  serious  disadvantages,  and  would 
result  in  confusion  for  large  store-rooms,  since  it  would 
not  bring  like  materials  together.  For  example,  brooms 
might  be  stored  next  to  bolts.  If  arranged  in  alpha- 
betical sections,  a  uniform  design  for  bins  or  racks  would 
be  impossible  because  .of  the  great  physical  difference  of 
the  materials  stored  in  each  section. 


UTILIZATION  OF  MINE  SUPPLIES  29 

If  the  amount  of  material  is  large  or  the  variety  ex- 
tensive, and  there  is  a  constant  call  for  some  while 
others  are  but  rarely  used,  those  of  the  former  type  should 
be  stored  close  at  hand  so  as  to  be  quickly  and  easily 
accessible,  while  those  used  less  may  be  stored  in  more 
remote  places.  In  order  to  locate  materials  when  stored 
in  this  way,  a  card  index  system  is  used.  The  bins  or 
store  places  are  numbered  in  some  well  recognizable 
order.  An  index  book  or  file  is  made  which  lists  all 
materials  according  to  name,  size,  quality,  and  other 
properties,  and  states  the  number  of  the  bin  or  section 
in  which  the  material  is  to  be  found.  In  this  manner, 
storage  space  can  be  well  utilized,  and  by  reference  to 
the  alphabetically  arranged  index,  it  does  not  take 
much  time  to  locate  the  goods.  Also,  like  materials 
may  or  may  not  be  stored  together  in  the  same  sec- 
tion. It  allows  a  great  fluctuation  in  the  manner  in 
which  goods  are  to  be  stored. 

Another  method  of  arrangement  is  according  to  a 
Mnemonic  Classification.  When  all  materials  are  classi- 
fied mnemonically  and  given  a  symbol,  they  are  ar- 
ranged in  bins  or  sections  in  alphabetical  order  accord- 
ing to  the  classification.  Like  kinds  of  materials  will 
be  placed  together.  The  mnemonic  symbol  is  an  aid 
to  the  memory  in  recalling  the  name  of  the  material, 
likewise,  given  the  name  of  the  material,  its  mnemonic 
symbol  is  easy  to  determine,  and  hence  the  piece  can 
be  rapidly  located.  The  system  is  easy  to  learn  and  a 
stranger  in  a  short  time  can  master  it  and  locate  ma- 
terials in  the  store-room.  The  complete  classification  is 
always  kept  on  hand,  but  in  a  very  short  time  a  per- 


30  THE  EFFICIENT  PURCHASE  AND 

son  has  mastered  the  symbols  and  seldom  refers  to  the 
classification.  It  does  away  with  the  necessity  of  a 
card  index  as  described  in  the  previous  case. 

Mnemonic  Classification  of  Mine  Materials.  The 
following  is  a  skeleton  classification  of  materials  used 
in  and  about  mines.  Because  of  the  fact  that  the  kind 
and  amount  of  materials  vary  greatly  at  different  prop- 
erties, we  have  not  endeavored  to  make  this  in  any  way 
complete,  but  have  merely  indicated  the  general  method. 

The  first  consideration  to  be  given  is  to  divide  all 
materials  into  some  large,  fundamental  groups.  One 
must  consider  how  the  materials  are  most  logically 
grouped  with  respect  to  their  size  and  purpose.  The 
general  groups  given  may  be  applied  to  some  properties, 
but  it  might  be  advantageous  to  make  an  entire  different 
grouping  for  other  cases. 

It  will  be  noticed  that  the  letters  "  Q  "  and  "  U  "  are 
not  used.  In  the  writing  of  these  letters,  the  "  Q  "  is 
somewhat  similar  to  "O"  and  the  "U"  to  "  V," 
hence  this  was  done  to  avoid  any  possible  errors  in  in- 
terpreting the  symbols  when  in  writing.  When  the 
first  letter  of  the  word  is  no  longer  available,  the  next 
following  consonant  is  used,  as,  for  example,  under 
Hardware,  "  staple  "  is  designated  by  "  SHT  "  as  the 
"  S  "  was  used  to  designate  "  screws  "  "  SHS." 

After  sufficient  letters  are  used  to  designate  the  ar- 
ticle, the  size  or  make  follows,  as,  for  example,  40% 
dynamite  is  designated  as  "  SXD  —  40%,"  or  a  hammer 
for  a  Waugh  No.  17  drill  is  designated  by  "  SMDH  — 
Wiy,"  while  the  machine  itself  is  designated  by  "  SMD 
—  Wi;."  When  sufficient  symbols  are  used,  and  there 


UTILIZATION  OF  MINE  SUPPLIES  31 

is  still  a  variety  to  designate,  serial  numbers  may  be 
used,  as,  for  example,  blank  forms  may  be  numbered 
serially,  and  the  numbers  preceded  by  the  symbol  for 
stationery  and  office  supplies.  This  allows  an  extension 
without  getting  into  a  complicated  series  of  letters. 

Persons  soon  become  familiar  with  the  symbol  of  the 
materials  which  they  often  use,  and  hence,  if  this  sym- 
bol is  written  on  the  requisition,  it  saves  time  in  writing. 


32  THE  EFFICIENT   PURCHASE  AND 


"S"  STORES. 

SA 
B 

C  Chemicals  for  Assaying  —  Supplies. 
D 

E  Electrical  Supplies  and  Accessories  to  Elec- 
trical Machines. 

F  Fire  Accessories. 
G 

H  Hardware. 

I  Iron,  Steel,  and  Castings. 

J 
K 

L  Lumber. 

M  Machines   and  Accessories   other   than   Elec- 
trical. 
N 

O  Oils,  Greases,  etc. 

P  Pipes  or  Fittings. 

R  Ropes,  Cables,  or  Belts. 

S  Stationery  and  Office  Supplies. 

T  Tools. 

V  Vehicles  and  Accessories. 
W 

X  Explosives. 
Y 

Z  Miscellaneous. 


UTILIZATION  OF  MINE   SUPPLIES  33 


"SC"  CHEMICALS  FOR  ASSAYING  —  SUPPLIES. 

SCA    Acids. 
B     Bone  Ash. 
C     Crucibles. 
D 
E 

F    Fluxes. 
G 
H 
I 

J 

K 

L 

M    Metallic  Substances. 

N 

O 

P 

R 

S     Scorifiers. 

T    Tools. 

V 

W    Weights. 

X 

Y 

Z    Miscellaneous. 


34  THE   EFFICIENT   PURCHASE  AND 


"SCA"  ACIDS. 

SCAA  Acetic. 
B 
C 
D 
E 
F 
G 

H    Hydrochloric. 
I 

J 

K 

L 

M 

N    Nitric. 

O 

P 

R 

S    Sulphuric. 

T 

V 

W 

X 

Y 

Z 


UTILIZATION   OF   MINE    SUPPLIES  35 


"SCF"  FLUXES. 

SCFA    Argols. 
B     Borax. 

C     Cyanide  of  Potash. 
D 
E 

F    Flour. 
G 
H 
I 

J 
K 

L    Litharge. 
M 
N 
O 

P     Potash. 
R 

S     Soda. 
T     Salt. 
V 

w 

X 
Y 
Z 


36  THE   EFFICIENT  PURCHASE  AND 


"SE"  ELECTRICAL  SUPPLIES  AND  ACCESSORIES. 

SEA 

B  Bells. 

C  Cells. 
D 

E  Electric  Blasting  Machines. 

F  Fuses. 
G 

H  Hangers. 

I  Insulation. 

J 
K 

L    Lights  and  Accessories  other  than  Fuses  or 

Switches. 

M    Motor  or  Generator  Accessories. 
N 
O 

P    Phones. 
R 

S     Switches. 
T    Transformers. 
V 

W    Wires. 
X 
Y 
Z 


UTILIZATION  OF  MINE   SUPPLIES  37 


"SEL"  LIGHTS  AND  ACCESSORIES   OTHER  THAN 
FUSES    OR   SWITCHES. 

SELA 

B     Buttons. 
C     Carbons. 
D 
E 
F 

G    Globes. 
H 
I 

J 

K 

L 

M 

N 
0 

P    Portable  Lamps. 
R 

S  Sockets. 
T 
V 
W 
X 
Y 
Z 


38  THE   EFFICIENT   PURCHASE   AND 


"SH»  HARDWARE. 

SHA 

B  Bolts  and  Nuts. 
C 
D 
E 
F 
G 

H    Hinges. 
I 

J 

K    Keys  and  Cotters. 
L    Locks. 
M 

N    Nails. 
O 
P 

R  Rivets. 
S  Screws. 
T  Staples. 
V 

W    Washers. 
X 
Y 
Z 


UTILIZATION  OF  MINE   SUPPLIES  39 


"SI"  IRON,  STEEL,  AND  CASTINGS. 

SIA 

B    Beams. 
C     Castings. 
D 
E 
F 
G 
H 
I 

J 
K 

L 

M 

N 
O 

P    Plates. 
R    Rods. 

S    Steels  for  Drills. 
T    Track  Accessories. 
V 
W 
X 
Y 
Z 


40  THE  EFFICIENT  PURCHASE  AND 


"SIT"   TRACK  ACCESSORIES. 

SITA 

B     Bonds. 
C 
D 
E 

F    Fishplates. 
G 
H 
I 

J 

K 

L 

M 

N 

O 

P 

R 

S    Spikes. 

T    Turnouts. 

V 

w 

X 
Y 
Z 


UTILIZATION  OF  MINE   SUPPLIES  41 


"SM"    MACHINES  AND  ACCESSORIES   OTHER  THAN 
ELECTRICAL. 

SMA 

B     Breaker  Parts. 
C     Compressor  Parts. 
D     Drills  and  Drill  Parts. 
E    Engine  Parts. 
F 
G 

H    Hoist  Parts. 
I 

J 
K 

L    Lubricators. 
M    Machine  Tool  Parts. 
N 
O 

P    Pump  Parts. 

R 

S 

T 

V 

W 

X 

Y 

Z 


42  THE   EFFICIENT   PURCHASE   AND 


"SMD"    DRILLS   OR  DRILL  PARTS. 

SMDA 
B 

C     Chucks. 
D 
E 

F    Feedscrews. 
G 

H    Hammers. 
I 

J  Jackscrews. 
K 
L 
M 
N 
O 

P     Pistons. 
R 

S     Springs. 
T    Tappets. 
V    Valves. 
W 
X 
Y 
Z 


UTILIZATION  OF   MINE   SUPPLIES  43 


"SO"    OILS,  GREASES,  ETC. 

SOA    Axle  Grease. 
B 

C     Candles. 
D 

E     Engine  Oil. 
F 

G     Gasoline. 
H 
I 

J 

K     Kerosene. 
L    Linseed  Oil. 
M     Machine  Oil. 
N 
O 
P 

R     Graphite. 
S 

T  Transformer  Oil. 
V 
W 
X 
Y 
Z 


44  THE  EFFICIENT  PURCHASE  AND 


"SP"    PIPES  OR  FITTINGS. 

SPA~ 

B     Bushings. 
C     Couplings. 
D 

E    Ells. 
F    Flanges. 
G 
H 
I 

J 

K 
L 
M 

N    Nipples. 
O 

P     Packing. 
R    Reducers. 
S 

T    Tees. 
V    Valves. 
W 
X 
Y 
Z 


UTILIZATION  OF  MINE   SUPPLIES  45 


"SX"     EXPLOSIVES. 


SXA 

B     Black  Powder. 
C     Caps. 
D     Dynamite. 
E 

F    Fuse. 
G     Gelatine. 
H 
I 

J 
K 
L 
M 

N  Nitro. 
O 
P 
R 
S 
T 
V 
W 
X 
Y 
Z 


46  THE  EFFICIENT  PURCHASE  AND 

Stores  Records.  A  stores  record,  in  its  simplest 
form,  is  a  record  which  shows  receipts  and  deliveries  of 
materials.  The  debits  and  credits  are  expressed  in 
items  of  materials  instead  of  values,  as  in  a  ledger.  That 
items  of  materials  are  used  in  place  of  dollars  and  cents, 
does  not  lessen  the  importance  of  this  work.  Materials 
on  hand  represent  money.  Often  materials  are  pur- 
chased with  borrowed  money,  so  that  over-stocking  be- 
comes as  serious  as  a  bad  investment.  "  Out  of  stock  " 
of  an  article,  that  takes  days  and  perhaps  weeks  to  pro- 
cure, entails  expensive  and  annoying  delays.  Order- 
ing based  on  guesswork  rather  than  on  actual  records 
of  consumption  can  but  result  in  excess  materials  in 
one  direction,  and  inadequate  provision  in  the  other. 
In  the  case  of  perpetual  inventory  methods,  one  need 
only  add  the  balances  of  each  record  to  determine  the 
stock  on  hand,  and  a  physical  inventory  is  not  absolutely 
necessary.  In  case  of  fire,  the  records  can  be  shown  for 
insurance  claims,  and  they  will  be  of  great  benefit  for 
re-ordering.  Hence  it  is  important  that  accurate  rec- 
ords of  materials  be  kept.  The  following  will  be  a 
general  description  of  methods  now  in  use  that  have 
proved  successful  for  each  individual  case. 

The  following  method  is  adequate  for  small  concerns, 
where  the  materials  carried  are  small  in  number  and 
variety.  A  form  is  filled  out,  either  on  loose-leaf  paper 
or  on  a  card,  which  gives  the  name  of  the  article,  the 
price  per  unit,  the  date  of  receiving  or  issuing,  and  the 
balance  on  hand.  A  leaf  or  card  is  made  out  for  each 
different  item  of  material  and  arranged  alphabetically. 
See  Fig.  7. 


UTILIZATION  OF  MINE   SUPPLIES 


47 


A  card  or  leaf  should  be  made  out  not  only  for  each 
different  kind  of  material,  but  for  each  size  of  this  ma- 
terial. For  example,  metal  plates  or  sheets  should  be 
listed  as  different-size  plate  or  sheet,  and  each  size 
have  a  record  for  itself.  Three-inch  pipe  would  be 
listed  according  to  length.  If  four  feet  are  cut  from  a 
ten-foot  pipe  and  the  six-foot  piece  returned  to  stores, 


THE  ACME  M.  &  M.  CO- 


STORES  RECORD 


Article 

Unit 
Price 

Date 

Rec'd 

Issued 

On  Hand 

FIG.  7. 

the  record  for  the  ten-foot  pipes  is  credited  with  one 
pipe,  and  the  record  for  the  six-foot  pipes  is  charged 
with  one  pipe. 

A  method  similar  to  the  above,  but  which  shows  more 
items,  is  handled  in  the  same  manner  either  in  a  book 
or  on  cards.  In  this  case,  it  shows  the  date  received, 
the  consignor,  the  quantity,  cost,  and  the  additional 
costs  of  handling  and  freight,  the  issuing  date,  name 
of  the  account  to  which  it  is  to  be  charged,  and  the  price. 


48  THE  EFFICIENT  PURCHASE  AND 

The  cards  are  balanced  at  the  end  of  each  month,  hence 
do  not  give  a  perpetual  inventory.  This  method  may 
be  sufficient  for  some  cases,  but  it  is  better  to  have  the 
cards  show  the  balance  on  hand  at  all  times,  so  that  if 
kept  reasonably  accurate,  one  can  easily  determine  how 
much  there  is  on  hand  of  each  material  without  the 
necessity  of  a  physical  inventory.  See  Fig.  8. 

In  addition  to  the  above  features  and  a  perpetual 
balance,  all  records  should  show  the  maximum  quan- 
tity of  each  item  which  should  be  kept  in  stores,  and  the 
minimum  amount  to  which  each  item  can  be  safely  al- 
lowed to  fall.  In  determining  these  base  figures  for 
maximum  and  minimum,  the  following  points  must  be 
considered: 

1.  Past  records  of  consumption. 

2.  Time  of  consumption  per  unit. 

3.  Storage  space  occupied. 

4.  Economic  amount  to  purchase  at  one  time. 

5.  Time  of  delivery. 

6.  Terms  of  purchase. 

7.  Depreciation. 

8.  Interest  on  capital  invested. 

9.  Insurance. 

The  average  weekly  consumption  is  the  amount  used 
per  week  on  the  average,  and  is  determined  from  past 
records  or  by  special  investigations.  These  figures 
should  be  revised  occasionally,  since  the  rates  of  con- 
sumption will  vary.  There  may  be  cases  where  periodic 
changes  occur,  and  in  such  cases  the  figures  should  be 
determined  for  each  period.  The  minimum  should  be 


UTILIZATION  OF  MINE  SUPPLIES 


49 


06 


50  THE  EFFICIENT  PURCHASE  AND 

so  set  that  the  fresh  supply  comes  in  just  before  the  old 
stock  is  exhausted. 

The  minimum  amount  to  which  an  item  of  material 
may  be  allowed  to  fall  may  be  determined  by  the  fol- 
lowing formula: 

M  =  TXQ, 

where  M  =  minimum  amount. 

T  =  time  in  weeks  required  to  obtain  material 

from  the  source. 
Q  =  the  weekly  consumption. 

The  above  formula  may  be  further  extended  by  con- 
sidering the  factors  which  make  up  each  term. 

The  unit  of  time  is  the  week.  The  unit  of  quantity 
is  that  one  decided  on  as  the  standard  for  the  balance 
of  stores  record. 

The  most  important  factors  are  the  following: 

(a)  Time  required  by  the  purchasing  department  to 
place  an  order  after  receiving  a  purchase  requisition 
from  the  balance  of  stores  clerk. 

(b)  Time  required  by  the  seller  to  ship  the  goods 
after  receipt  of  the  purchase  order. 

(c)  Time  required  in  transit. 

(d)  Time  required  to  unload  and  test  the  material. 

(e)  Time  added  as  a  factor  of  safety.     (This  usually 
depends  upon  the  reliability  of  the  shipping  concern  as 
to  their  keeping  the  promised  delivery  dates,  and  upon 
the  unaccountable  variables  of  transportation.) 

(/)   Average  quantity  consumed  per  week. 
(g)   Balance  available. 


UTILIZATION  OF  MINE  SUPPLIES  51 

(ti)  Maximum  quantity  that  a  single  requisition  on 
stores  might  require. 

(M)  Allowable  minimurfi  quantity. 

Using  the  letters  indicated  above,  the  sum  (a  +  b  + 
c  +  d  +  e)  =  time  in  weeks  required  to  secure  the  ma- 
terial from  the  source  =  T  of  the  preceding  formula. 

This  sum  multiplied  by  (/)  gives  the  quantity  used 
during  the  time  required  to  replenish  the  stock.  It 
might,  therefore,  be  expected  that  if  the  balance  of 
stores  clerk  made  out  a  requisition  on  the  purchasing 
department  for  material  when  this  quantity  was  left 
on  hand,  the  new  lot  would  be  ready  just  as  the  old 
lot  was  used  up.  There  must,  however,  always  be 
enough  on  hand  to  fill  the  maximum  order  that  might 
be  expected,  so  the  factor  (h)  is  added.  The  complete 
formula  then  becomes: 

M  =  (a  +  b  +  c  +  d  +  e)f  +  h. 

A  requisition  should  be  put  through  as  soon  as  (g) 
becomes  equal  to  (M). 

In  many  cases  some  of  these  terms  become  so  small 
that  they  need  not  be  considered.  By  the  intelligent 
use  of  this  formula  it  is  possible  to  keep  but  a  rela- 
tively small  amount  of  materials  on  hand  and  at  the 
same  time  always  be  sure  of  an  adequate  supply. 

The  maximum  quantity  is  the  sum  of  the  minimum 
quantity  and  the  economic  amount  to  purchase,  or 

X  =  M  +  P. 

This  economic  quantity  to  purchase  (P)  has  been  pre- 
viously discussed. 


THE   EFFICIENT  PURCHASE  AND 


g 


I 


II 


ll 

* 


.i 


UTILIZATION  OF  MINE   SUPPLIES 


53 


A  standing  order  should  be  made  for  the  stores  clerk 
to  the  effect  that  when  stores  on  hand  reach  the  mini- 
mum, he  must  issue  a  requisition  to  the  purchasing 
agent  for  an  amount  to  bring  the  item  up  to  the  maxi- 
mum. These  requisitions  should  be  checked  by  some 
person  who  is  thoroughly  familiar  with  the  needs  of  the 


STORES  CARD 

Order 
in  Lots 

Article 

Danger 
Limit 

Symbol 

Section 

Unit 

Remarks 

Min. 

Space 

Date 
191 

Quant. 
Ordered 

Ord.  No. 
or 

Job  No. 

Quant. 
Rec. 

Quant. 
Issued 

Quant. 
Bal. 

Price 

AtrCt 

Cash 
Bal. 

—  -^ 

FIG.  10. 

concern,  since  it  often  happens  that  some  of  the  items 
will  go  out  of  use.  The  including  of  these  figures  on 
the  stores  record  card  safeguards  both  the  stores  clerk 
and  the  purchasing  agent,  since  it  automatically  re- 
minds the  clerk  when  he  must  order  and  it  gives  the  pur- 
chasing agent  ample  time  to  order  and  receive  the  goods. 
This  form  of  record  is  also  kept  on  cards  or  loose-leaf 
books.  See  Figs.  9  and  10. 


54  THE  EFFICIENT  PURCHASE  AND 

In  some  cases,  a  bin-ticket  record  system  is  used  in 
connection  with  the  card  records.  This  facilitates  the 
keeping  of  an  accurate  record  in  the  warehouse  itself. 
Another  reason  for  using  a  bin  ticket  is  that  each  stores 
man  can  be  required  to  enter  his  initials  on  the  bin 
card  every  time  he  withdraws  materials.  In  this  way 
he  can  be  held  to  accuracy  and  prevented  from  taking 
an  excess  of  small  parts  and  let  the  surplus  lie  around  the 
issuing  space.  The  bin  ticket  cannot  usually  be  made 
to  serve  as  a  record  of  materials  on  hand,  such  as  is 
kept  by  a  regular  stores  record  clerk,  because  the  rec- 
ords for  quick  reference  and  entering  must  be  in  a  com- 
pact form.  However,  the  bin  ticket  has  a  salutary 
disciplinary  effect,  besides  it  is  useful  to  inform  new 
stores  men  as  to  the  correct  names  of  the  materials. 
See  Fig.  n.  When  the  quantities  fall  to  the  minimum, 
the  ticket  is  sent  to  the  stores  record  clerk,  and  a  new 
ticket  made  out.  Sometimes  a  temporary  bin  ticket 
is  used  when  an  item  has  fallen  below  the  minimum. 
This  ticket  is  of  a  different  color,  so  that  if  a  person 
passes  through  the  warehouse,  he  can  see  at  a  glance 
what  items  are  low. 

The  Scientific  Management  method  of  keeping  stores 
records  includes  the  best  of  the  previously  described 
methods  with  some  additional  features.  The  record  is 
known  as  the  "  balance  of  stores  "  record,  and  is  in 
charge  of  a  "  balance  of  stores  "  clerk,  which  is  a  special 
function.  All  stores  are  classified  and  given  a  mne- 
monic symbol.  The  bin  tag  method  is  also  used  in  con- 
nection with  the  book  records.  It  is  assumed  that  work 
is  planned  ahead  and  lists  of  materials  made  out  to  be 


UTILIZATION  OF  MINE   SUPPLIES 


55 


/  Name  of                                                                                                        X 

f           Arr.tir.lp                                                                                                      J7™1*                                  }* 

Kymbnl                                                                                                 Mn.x. 

mn. 

Date 
Bee. 

Date 
Issued 

Quant. 

Charge  to 
Order  Nor 

Note:  When  Minimum  is  reached  Send  this  Tag 
to  Store  Clerk. 

FIG.  ii. 


56  THE  EFFICIENT  PURCHASE  AND 

used  for  this  future  work.  This  material  is  known  as 
material  apportioned  to  a  job  and,  although  still  in  the 
store-room,  is  not  any  longer  available  for  other  jobs. 
This  method  of  planning  ahead  and  apportioning  ma- 
terials for  future  work  necessitates  the  introduction  of 
another  column  in  the  stores  record  sheets.  Such  a 
Balance  of  Classified  Stores  Record  Sheet  is  illustrated 
in  Fig.  12.  It  consists  of  four  main  divisions,  or  col- 
umns, numbered  consecutively  i,  2,  3,  and  4.  These 
columns  are  used  for  the  following: 

1 .  Stores  ordered  but  not  yet  received. 

2.  Stores  on  hand  in  the  store-room. 

3.  Stores  apportioned  to  a  job  but  not  yet  issued 
from  the  store-room. 

4.  Stores  available. 

It  is  assumed  that  the  time  necessary  to  replenish 
materials  is  known  and  that  the  minimum  amount  has 
not  been  exhausted  before  the  new  supply  arrives,  hence 
when  stores  are  ordered,  the  quantity  is  added  to  col- 
umns i  and  4.  When  the  materials  arrive,  the  quantity 
received  is  subtracted  from  column  i  and  added  to  col- 
umn 2.  When  materials  are  apportioned,  the  amount  is 
added  to  column  3  and  subtracted  from  column  4.  When 
stores  are  issued,  the  quantity  is  subtracted  from  col- 
umns 2  and  3.  The  balance  is  brought  down  at  once 
in  each  column  affected.  This  method  is  of  utmost 
value  where  all  work  is  planned  out  in  advance.  The 
various  balance  sheets  are  kept  in  loose-leaf  binders  in 
alphabetical  order,  in  accordance  with  their  symbols. 

In  addition  to  the  classified  stores,  usually  some  small 


UTILIZATION  OF  MINE  SUPPLIES 


57 


*  *  .2 

<£   §, 
£|? 


S 


85 


•day 


•OAT 

3PJ.Q  UOf 

pznssj 


58  THE  EFFICIENT  PURCHASE  AND 

quantities  are  purchased  at  irregular  intervals,  and  not 
usually  kept  in  stores.  These  are  known  as  unclassified 
or  miscellaneous  stores,  are  given  consecutive  numbers 
and  filed  accordingly. 

The  general  procedure  under  this  method  is  as  follows : 

All  duties  and  work  to  be  done  is  described  in  detail 
on  written  instruction  cards  to  each  person  concerned. 
Standing  orders  are  made  out  in  writing  which  cover 
these  instructions  and  regulations  which  regard  the 
management  and  operation  of  the  store-room. 

The  Planning  Department  plans  the  work  ahead,  and 
lists  the  material  in  advance  for  the  jobs.  The  lists  of 
this  apportioned  material  are  given  to  the  balance  of 
stores  clerk  for  proper  entry. 

In  order  that  the  balance  of  stores  clerk  can  keep 
his  records  in  proper  shape  he  must,  in  each  case,  be 
furnished  with: 

(a)  The  Purchase  Order,  or  copy,  so  that  he  can  enter 
the  materials  ordered  but  not  yet  received. 

(b)  The  Materials  Received  Report,  or  copy,  so  that 
he  can  enter  the  materials  as  on  hand  in  the  store-room. 

(c)  The  Issue  Slip,  or  copy. 

(d)  Stores  Credit  Slip,  or  copy. 

(e)  Apportioned  Slip,  or  copy. 

(f)  Price  of  materials. 

Where  the  originals  are  used,  they  are  stamped  after 
entry  and  returned  to  the  proper  officials.  Where 
copies  are  used,  they  are  stamped  after  entry,  and  kept 
on  file  by  the  balance  of  stores  clerk.  Where  the  bal- 
ance of  stores  clerk  is  furnished  with  a  copy  of  the 


UTILIZATION  OF   MINE   SUPPLIES  59 

Purchase  Order,  it  is  filed  serially,  and  the  purchasing 
agent's  copy  filed  alphabetically,  so  as  to  form  a  cross- 
index. 

The  Materials  Received  Report  is  filed  chronologi- 
cally, because  a  freight  bill,  or  other  record,  may  give 
only  a  date  on  which  an  item  of  material  was  received 
and  this  system  of  filing  makes  it  easier  to  locate  re- 
ports. 

After  an  invoice  for  materials  purchased  has  been 
paid,  it  should  go  to  the  balance  of  stores  clerk,  so  that 
he  may  enter  the  price.  This  should  be  done  from  the 
paid  invoice  in  order  to  include  any  price  adjustments. 
The  price  should  invariably  be  reduced  to  the  same 
unit  as  that  in  which  the  material  is  recorded  on  the 
record  sheet. 

Checks.  Where  no  perpetual  inventory  is  kept,  it  is 
necessary  to  go  to  each  bin,  rack,  or  stock  pile  and  count 
the  material,  in  order  to  determine  how  much  there  is 
on  hand.  Where  a  perpetual  inventory  is  kept,  this 
must  be  checked  occasionally  by  a  physical  inventory. 
A  certain  amount  of  this  checking  should  be  done  daily, 
so  as  to  avoid  an  accumulation  of  this  work.  A  good 
method  of  checking  the  store-keeper  is  one  where  the 
stores  record  clerk,  daily,  takes  a  number  of  the  bin 
tickets  to  his  desk  and  compares  them  with  the  balance 
on  his  record.  At  the  same  time,  he  orders  a  count  made 
of  the  materials  in  these  bins.  The  count  is  forwarded 
to  him,  and  the  count,  ticket,  and  balance  record  should 
agree.  The  store-keeper  does  not  know  in  advance  what 
bins  are  to  be  counted,  and  does  not  know  what  the 
quantities  are  in  the  bins,  as  the  bin  tickets  are  removed 


60  THE  EFFICIENT  PURCHASE  AND 

before  the  order  to  count  is  issued.  The  order  of  count 
should  be  so  arranged  that  each  bin  is  counted  at  least 
twice  a  year.  Where  more  time  is  available,  this  sched- 
ule should  be  made  even  shorter.  If  errors  are  found, 
they  are  brought  to  the  attention  of  the  store-keeper 
so  that  immediate  correction  can  be  made,  and  a  re- 
port is  sent  to  a  proper  official. 

Another  method  of  inspection  is  conducted  accord- 
ing to  the  Exception  Principle.  Someone  delegated  for 
the  purpose  inspects  at  random  a  certain  number  of 
bins  each  day,  and  checks  the  quantity  found  with  the 
ticket  and  the  record  sheets.  If  an  error  is  found, 
additional  bins  are  counted.  Exception  inspections  car- 
ried on  in  this  manner,  keep  not  only  the  store-keeper  but 
also  the  record  clerk  on  their  mettle,  and  tend  to  find 
any  errors  that  might  have  slipped  by  them.  The 
amount  of  inspecting  done  under  this  method  depends 
entirely  upon  the  condition  found  when  checking. 

(d)   Issuing  Systems. 

The  management  should  have  constantly  in  mind 
the  cash-control  idea  with  regard  to  stores.  It  is  help- 
ful to  get  the  workmen  imbued  with  the  same  spirit. 
The  fact  that  the  stores  are  kept  under  lock  and  key 
and  that  they  can  only  be  obtained  through  a  requisi- 
tion signed  by  a  foreman  or  a  proper  official,  exerts  a 
strong  influence  in  this  direction.  It  is  a  psychologic 
fact  that  the  sense  of  value  is  inversely  proportional  to 
the  ease  of  obtainment.  This  does  not  mean  that  is- 
suance should  be  so  surrounded  with  safeguards  and 
restrictions  as  to  put  the  workmen  to  inconvenience  in 


UTILIZATION  OF  MINE   SUPPLIES  6 1 

order  to  secure  necessary  supplies;  on  the  contrary,  the 
methods  should  be  such  that  needed  materials  can  be 
obtained  without  unnecessary  formality  or  delay.  Any 
wasteful  use  must  be  discouraged.  If  the  workmen 
know  that  the  company  does  not  keep  track  of  its  ma- 
terials, it  will  create  a  bad  influence  among  them.  The 
workmen  are  not  paid  for  keeping  track  of  the  com- 
pany's materials,  and  they  do  not  feel  that  they  should 
be  thanked  for  economizing.  As  a  matter  of  fact, 
where  no  records  are  kept,  it  would  not  be  known  that 
a  workman  was  economizing. 

It  is  a  common  criticism  that  it  is  nothing  more  or 
less  than  "  red  tape  "  to  require  a  written  and  signed 
requisition  when  an  employee  wants  a  pencil  or  a  bolt, 
worth  perhaps  but  a  fraction  of  a  cent.  On  the  face  of 
it,  this  appears  to  be  true  and  it  would  seem  to  cost 
more,  as  some  claim,  to  make  out  a  requisition  for  a 
pencil  or  a  bolt  than  either  of  them  is  worth.  When 
one  considers,  however,  that  these  are  extreme  cases, 
picked  out  to  exaggerate  or  perhaps  to  condemn  a 
method,  and  remembers,  too,  that  these  seemingly  fool- 
ish requirements  affect  only  a  small  percentage  of  the 
total  values  which  the  methods  are  to  govern  and  con- 
trol, the  matter  then  assumes  an  entirely  different  as- 
pect. A  good  manager  knows  how  to  transgress  from 
a  standard  method  in  order  to  facilitate  the  operations 
for  certain,  irregular  needs.  As  for  example,  consider 
office  supplies.  These  should  be  drawn  periodically  in 
reasonably  large  quantities  on  a  requisition  signed  by 
the  head  of  the  department.  He  must  know  his  wants, 
so  that  perhaps  once  a  week  he  can  make  his  order  on 


62 


THE   EFFICIENT   PURCHASE  AND 


stores  for  the  supplies  which  he  will  need  for  a  week. 
From  this  point  on,  he  can  keep  his  own  records  as  to 
the  consumption  of  the  individuals  under  him.  This 
method  does  away  with  the  continual  annoyance  caused 
by  the  necessity  to  frequently  make  out  a  requisition 
for  a  small  issue  of  stores,  and  at  the  same  time,  makes 
it  easy  and  feasible  to  handle  all  kinds  of  material 
through  the  same  routine  as  required  for  valuable 
material. 


THE  REX  MINING  CO. 
SUPPLY  ORDER 

Date 

SUPPLY  CLERK:- 
Deliver  the  following  to 

Am't  Ordered 

Name 

Value 

Cliargeable  to 

Foreman 

NOTE:-No  Material  will  be  issued  ivithoutthis  ticket. 
This  Requisition  properly  signed  must  be  filed  in  Store 
Clerk's  Office. 

FIG.  13. 

Figs.  13  and  14  show  forms  of  requisition  slips  much 
in  use.  The  Credit  Slip,  Fig.  15,  is  used  when  supplies 
have  been  charged  out  and  returned  to  be  used  for  some 
other  purpose.  Credit  should  be  given  the  job  it  was 
charged  to,  and  the  material  charged  back  into  the 
supply  account. 

In  mines  where  men  are  working  under  contract  and 
where  the  supplies  which  they  draw  from  the  store- 


UTILIZATION  OF  MINE  SUPPLIES 


Charge  to  Order 
No 


C 


ISSUED  FOR 


Quantity 


Unit 


No. 
Piece 


Total  Wot. 


Unit  Price 


Total  Value 


Drawing 
No. 


Job 
No. 


Month 


Issue 
Written 


Day 


Year 


STORES  ISSUE 


Stores 
Delivered 


Storekeeper:-        Please  issue  above 


to. 


Signed- 


App. 


ENTERED 


Tag 


Stores 
Acc't 


Balance 
Acc't 


Cost 
Acc't 


Stores  described 
above  have  been 
issued. 


Storekeeper 


FIG.  14. 


THE  EFFICIENT  PURCHASE  AND 


room  are  deducted  from  the  contract  price,  a  special 
issuing  record  should  be  kept  for  these  men.  A  sep- 
arate record  should  be  kept  for  such  material,  and 
Fig."  1 6  shows  a  form  of  such  a  record.  They  are  made 
out  for  each  man,  or  group  of  contractors,  and  are  filed 
alphabetically  according  to  the  name. 


THE  REX  MINING  CO. 
CREDIT  SLIP 

No. 

Deliver  to  Sunvlu  Clerk:                                                   Date 

Amount 

Name 

Value 

Credit 

'  Credit  to 

Foreman 

£Ehis.slip  must  be  kept  on  file  in  Store  Clerk's  Office. 

FIG.  15. 

For  the  absolute  success  of  the  Requisition  System, 
close  supervision  is  necessary.  This  means  that  the 
foreman  in  charge  of  the  men  must  have  sufficient 
time  to  investigate  the  reason  why  supplies  are  needed, 
before  placing  his  signature  on  a  requisition.  If  this 
is  the  case,  then  the  men  will  not  call  for  material  which 
they  do  not  need,  since  the  foreman,  who  is  held  respon- 
sible for  all  supplies  issued  under  his  signature,  will 
not  likely  authorize  the  order  without  good  reason. 
When,  however,  a  foreman  has  a  large  number  of  men 
under  him  and  considerable  work  to  do,  the  Requisition 
System  will  soon  show  defects.  The  men  will  soon 


UTILIZATION  OF  MINE   SUPPLIES 


learn  that  they  can  get  the  material  by  going  through 
a  mere  formality.  The  foreman  has  other  important 
duties,  and  one  can  hardly  expect  him  to  look  after 
these  leaks.  The  store-keeper  cannot  object  to  deliver 
the  goods  when  a  properly  signed  requisition  is  tendered. 
In  case  he  should  investigate  the  reasons  why  each 
requisition  is  made  out,  it  would  entail  endless  friction 
and  needless  waste  of  time,  and  it  would  cost  more  than 
the  saving  would  be  worth.  In  such  a  case,  the  fault  is 
not  with  the  men,  but  with  the  system. 


Name 
Level 

Ts>r.n.t.i.fvn. 

Month  nf                                                              1Q1 

Date 

Candles 

Powder 

Fuse 

Caps 

Steels 

Oils 

FIG.  1 6. 

Since  the  previously  described  case  occurs,  at  times, 
some  other  schemes  have  been  planned  out  and  put  into 
use.  A  type  of  these,  for  special  cases,  is  the  Budget, 


66  THE  EFFICIENT  PURCHASE  AND 

or  Bill  of  Material,  System.  This  method  is  based  on 
the  principle  that  the  store-keeper  can  be  held  respon- 
sible for .  over-issues  of  materials  for  a  job,  when  he 
has  a  complete  list  of  materials  necessary  for  that 
job. 

This  system  can  only  be  used  where  the  work  is  such 
that  it  can  be  planned  out  in  advance,  specifications 
made  for  the  materials  necessary,  and  these  materials 
entered  in  detail  on  a  Bill  of  Material  form.  Then  a 
copy  of  this  Bill  of  Material  is  sent  to  the  store-keeper 
with  instructions  somewhat  like  the  following:  "  Issue 
material  to  any  responsible  workman  who  calls  for  it, 
provided  the  materials  are  listed  on  this  sheet,  but  take 
precautions  to  get  the  workman's  number  or  name 
against  every  amount  of  goods  which  he  takes  out. 
When  the  list  has  all  the  items  checked  off,  issue  no 
more  goods,  unless  spoiled  material  is  returned,  or  some 
satisfactory  explanation  comes  from  the  foreman,  under 
his  signature,  as  to  why  the  additional  material  is 
needed.'' 

This  system  has  the  following  advantages: 

1 .  It  prevents  theft,  since  no  one  can  obtain  materials 
unless  he  is  responsible  for  them. 

2.  Wastes    are    lessened,    since    additional   material 
called  for  is  noted  and  the  cause  investigated. 

3.  It  notifies  the  store-keeper  in  advance  what  ma- 
terials will  be  needed. 

4.  It  lessens  the  accounting,  since  it  eliminates  the 
handling  of  individual  requisitions. 

5.  It  enables  the  men  in  charge  to  keep  close  watch 
on  all  material. 


UTILIZATION  OF  MINE   SUPPLIES  67 

A  modification  of  the  above  plan  is  one  where  materials 
such  as  oil  or  waste  are  issued,  which  cannot  be  allotted 
to  any  particular  job.  A  certain  amount  of  such  ma- 
terial is  issued  to  each  man  every  week  and  no  more 
given  to  him,  without  explanation,  until  the  next  dis- 
tributing day.  The  needs  of  each  particular  case  must 
be  studied  and  the  amount  to  be  issued  set  accordingly. 

Another  modification  of  the  Budget  Method  is  used 
by  large  mining  companies  for  Extraordinary  Expenses. 
Extraordinary  Expenses  are  those  which  exceed  a  mini- 
mum amount  fixed  by  the  officers  of  the  company.  If 
it  is  estimated  that  the  cost  of  a  new  job,  repair,  improve- 
ment, construction,  or  additional  equipment,  amounts 
to  more  than  this  fixed  minimum,  the  approval  of  the 
general  manager  and  the  general  superintendent  is  re- 
quired. The  method  of  handling  these  items  is  to  make 
out  at  the  mine,  an  estimate,  which  gives  details,  and 
forward  copies  of  this  to  the  officers  concerned  for  their 
investigation  and  approval. 

(e)    Reports  of  Consumption  of  Supplies. 

In  order  to  know  where  and  when  to  place  restrictions 
on  the  issuance  and  consumption  of  materials,  and  in 
order  to  obtain  data  from  which  to  study  material  con- 
sumption of  the  different  jobs  or  workmen,  the  manage- 
ment must  determine  standards  of  consumption  for  dif- 
ferent kinds  of  work. 

Daily  reports  are  usually  required  from  the  timbermen, 
drillers,  enginemen,  etc.,  as  to  how  much  timber,  pow- 
der, oil,  etc.,  they  used  that  day.  Fig.  17  shows  a  form 
of  report  for  timbermen.  Other  reports  are  made  out 


68 


THE  EFFICIENT  PURCHASE  AND 


in  a  similar  manner.  One  of  the  office  men  compiles 
these  reports  on  forms  for  the  month's  supply.  At 
the  end  of  the  month,  these  are  totaled  and  the  cost 


THE  BEX  MINING  CO. 
Timberman's  Report 

Date 

n'rlnrlf  Kl^ft 

Level 

Kt.npc  <^r  Drift 

Caps 

Sills 

Posts 

Stulls 

Butt  Caps 

Ties 

Lagging 

Sprags 

Ladders 

Planks,  ft. 

Cribbing 

Remarks 

Timberman 

FIG.  17. 

entered.  Figs.  18  and  19  show  forms  for  the  monthly 
compilation  of  such  reports,  for  timber  and  powder. 
Figs.  20  and  21  show  forms  for  noting  the  supplies  used 
on  engines  and  a  record  of  coals  consumed.  The  amounts 
are  entered  daily  from  the  individual  reports.  The 


UTILIZATION  OF  MINE  SUPPLIES 


69 


card,  or  page,  is  usually  made  large  enough  to  show  a 
month's  consumption. 


THE  REX  MINING  CO. 
Timber  Report. 

Month  oj 

W1 

I 

1 

5 
rs 

03 

! 

1 

^ 

Butt  Caps 

1 

Lagging 

i 

Planks-Ft. 

Cribbing 

Remarks 

1 

2 

S 

U 

-—  J  —  ' 

'-•  ; 

•"-  ' 

•  

—  - 

—  *=i— 

*—     _ 

==»  —  •==:  

FIG.  i 8. 


THE  BEX  MINING  CO. 
Powder  Report 

T*vel 

Moni 

hnf 

191 

Place. 

I 

jl 

1  VsPowder 
Ibs. 

1  Powder  100  % 
Ibs. 

A 

1 

1 

Remarks 

1 

2 

3 

"—  •  —  — 



FIG.  19. 

Timber  Records.  In  mines  where  considerable  tim- 
ber is  used,  special  methods  of  keeping  track  of  this 
have  been  adopted.  For  a  large  mine,  this  problem  is 


70 


THE  EFFICIENT  PURCHASE  AND 


UTILIZATION  OF  MINE  SUPPLIES 


a  difficult  one.  Timber  is  usually  placed  as  the  work 
progresses,  re-timbering  is  a  frequent  occurrence,  and 
the  age  of  any  particular  set  of  timber,  the  cause  of 
its  failure,  and  many  other  items  that  are  of  value  to  the 
manager,  soon  become  hopelessly  confused.  Where  tim- 
bering or  re-timbering  is  done  on  contract  and  payment 
made  every  two  weeks,  it  is  imperative  that  some  meth- 
od of  recording  and  posting  timber  sets  be  adopted.  The 


THE  REX  MINING  CO. 
Coal  Record 

s 

1 

1 

L 
^ 

Si 

I 

5) 

"5 
^> 

S) 
3 
1 

I 

5 

1 

4 

On  Hand  at  First  of  Month 

12.-) 

45 

274 

Amount  Received  During  Mo. 

200 

500 

Tnf.nl,  fnn.K 

32o 

545 

Amount  Consumed  During  Mo. 

280 

271 

4,' 

•>74 

FIG.  21. 

following  is  a  description  of  a  method  used  especially 
for  drifts,  but  it  can  easily  be  extended  to  embrace  all 
timbering : 

Every  stick  of  timber,  after  being  set  in  the  mine,  is 
blazed  with  a  carpenter's  hatchet,  and  the  date  of  set- 
ting punched  thereon  with  a  set  of  steel  figures  and  then 
painted  over  with  a  coat  of  wood  preservative  paint. 
The  head  timberman  on  his  final  round,  just  before  the 
end  of  the  shift,  does  this  marking,  and  at  the  same 
time  fills  out  a  blank  form  as  shown  by  Fig.  22.  The 
sheets  are  kept  on  file  by  levels,  and  the  totals  brought 
down  and  posted  by  the  book-keeper.  Old  timbers  re- 


THE  EFFICIENT  PURCHASE  AND 


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UTILIZATION  OF  MINE   SUPPLIES  73 

set  are  marked  a  second  time.  The  original  date  is 
left  intact,  so  that  when  a  set  of  timber  is  finally  re- 
moved, the  individual  timbers  which  compose  the  set 
practically  tell  their  own  history  and  age. 

"  Lost "  Material.  A  careful  inspection  of  some  of 
our  mines  will  show  that  large  amounts  of  old  but  per- 
haps re-usable  timber,  tracks,  switches,  pipes,  wires, 
etc.,  are  apparently  "  lost  "  in  the  old  workings  or  aban- 
doned parts  of  the  mine.  In  some  cases  this  amounts 
to  a  serious  figure,  but  apparently  the  management  is 
not  aware  of  this.  It  certainly  would  be  time  well  spent 
to  keep  a  closer  account  of  this  material.  Practically 
a  debit  and  credit  ledger  system  could  be  used  for  this. 
The  mine  could  be  divided  into  different  parts,  and  a 
regular  charge  account  kept  for  each  part.  When  any 
material  is  moved  to  this  part,  the  part  should  be  charged 
with  it.  When  material  is  removed,  the  part  should 
be  credited.  In  this  manner  one  could  keep  a  careful 
record  of  materials  underground,  and  the  time  con- 
sumed to  keep  such  a  record  would  certainly  be  well 
spent,  since  it  would  be  of  considerable  aid  to  prevent 
materials  from  getting  "  lost." 

Graphic  Charts.  Some  concerns  make  elaborate 
graphic  charts  which  show  the  consumption  of  sup- 
plies. Material  costs  are  usually  computed  per  ton  of 
ore  mined  or  treated,  and  these  material  costs  per  ton 
plotted,  together  with  the  date  of  consumption.  In 
some  places,  charts  which  show  the  total  consumption 
of  materials  are  in  vogue,  while  in  other  cases  a  chart 
is  made  for  each  important  item.  The  chart  method 
is  merely  an  easy  method  of  showing  consumption 


74  THE   EFFICIENT  PURCHASE  AND 

records  at  a  glance  without  the  need  of  going  through 
a  mass  of  statistical  figures.  Some  concerns  gather 
elaborate  statistics,  but  seldom  put  these  to  actual 
use.  A  manager  is  more  likely  to  make  a  study  of  a 
good  chart  than  of  a  mass  of  figures.  In  a  chart,  one 
can  see  abnormal  conditions  of  consumption  at  a  glance, 
and  center  the  analysis  on  these,  rather  than  analyzing 
long  lists  of  figures  where  the  maximum  of  these  show 
normal  consumption,  and  only  once  in  a  while  an  ab- 
normal figure  is  indicated  which  may  pass  the  eye  with- 
out notice.  Abnormal  points  on  a  chart,  whether  they 
indicate  an  unusual  excess  or  unusual  minimum  of  con- 
sumption, should  be  noted,  and  an  investigation  made 
as  to  the  reason  why  they  diverge  from  the  normal. 
Such  an  investigation  will  often  result  in  a  general  re- 
duction of  consumption.  Graphic  charts  are  also  of  use 
in  the  Reports  to  the  Board  of  Directors  or  to  the  Stock- 
holders, since  they  are  a  condensation  of  statistical  figures. 
The  evil  of  too  many  reports  and  statistics  is  also 
recognized.  Some  superintendents  or  managers  spend 
considerable  time  each  day  reading  reports  of  labor  and 
material  consumption,  when  their  time  might  well  be 
occupied  with  other  work.  The  following  is  a  funda- 
mental law  of  management:  "  Arrange  the  work  in 
such  a  manner  that  no  high  priced  man  does  work  which 
a  lower  priced  man  can  do."  In  order  to  comply  with 
this  law,  the  Exception  Principle  can  well  be  put  into 
use  in  the  study  of  reports  and  charts.  This  principle  is 
based  on  the  fact  that  high  officials  need  only  inves- 
tigate exceptional  cases.  A  manager  need  not  feel 
worried  when  he  knows  that  everything  is  working  under 


UTILIZATION  OF  MINE   SUPPLIES  75 

normal  conditions.  Only  in  cases  when  conditions  be- 
come abnormally  high  or  low  should  he  need  to  inves- 
tigate. Charts  according  to  the  Exception  Principle 
are  made  in  the  following  manner: 

A  chart  is  plotted  which  shows  times  and  units  of  con- 
sumption or  output.  By  a  study  of  the  past  records, 
one  determines  the  normal  figures,  and  draws  a  heavy 
line  across  the  chart  to  represent  this  normal.  This  is 
the  base  line  from  which  the  abnormals  diverge.  The 
foreman's  zone  is  indicated  by  a  line  above  and  below 
this  base  line,  and  parallel  to  it.  As  long  as  the  con- 
sumption or  output  curve  remains  in  the  foreman's 
zone,  the  report  need  go  no  further.  The  next  zone 
would  be  that  of  the  superintendent;  then  a  zone  for 
the  manager,  and  perhaps  one  for  the  president.  If 
the  curve  enters  the  superintendent's  zone,  the  report  is 
shown  to  him;  when  in  the  manager's  zone,  it  is  also  for- 
warded to  him.  The  limits  of  these  zones  are  arbitrary 
and  depend  upon  the  value  of  the  consumption  or  out- 
put plotted,  and  the  need  of  investigation  by  higher 
officials  when  abnormals  show.  Fig.  23  shows  a  chart 
made  on  this  principle  for  powder  consumption  per  foot 
of  drift,  and  it  will  probably  make  the  method  clear. 
One  can  readily  see  that  this  method  has  many  uses. 

(/)    Methods  of  Preventing  Waste. 

Records  of  Equipment.  It  is  to  be  recommended  that 
all  companies  keep  a  complete  record  of  their  machines 
and  equipment.  A  good  method  is  one  where  each  ma- 
chine and  piece  of  equipment  is  given  an  inventory 
number,  and  a  full  record  is  kept  which  gives  the  entire 


76 


THE   EFFICIENT  PURCHASE  AND 


General  Managers  Zone 


Supfs  Zone 


Foreman's 
Zone 


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6 

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8 

9 

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11 

12 

18 

Ik 

\$15 

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17 
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Pounds  per  Foot 


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UTILIZATION  OF  MINE   SUPPLIES 


77 


history  of  the  piece.  A  simple  card  record  may  be 
used.  A  card  is  made  out  for  each  piece  of  equipment. 
This  card  has  the  same  number  as  the  one  affixed  to 
the  represented  item.  Such  a  card  should  show  from 
whom  the  item  was  purchased,  the  date  of  installa- 
tion, the  original  cost,  the  cost  of  installation,  cost  of 


Mn.rMnr  A7h                                                                                               Dcpt. 

Description 

Total 

Boiifihtof                                         P.O.                       Date                       Cost 

Installed  No.                                   Cost                        F'ght  > 

Remarks 

Year 

Dep. 

2^lrovcm""tds                           Nature  of  Improvements 

Date 

Order  No. 

FIG.  24. 

improvements  or  betterments,  and  the  depreciation  as 
inventoried  each  year.  The  rear  of  the  card  may  show 
repair  and  maintenance  charges,  so  that  the  compara- 
tive efficiency  of  each  machine  may  be  shown.  Fig.  24 
illustrates  such  a  card. 

Another  plan  is  one  where  a  drawing  is  made  of  all 
power  houses,  shops,  etc.,  which  show  the  exact  location 
of  each  machine  or  piece  of  equipment.  The  items  are 
numbered,  and  the  number  placed  on  the  article  itself 
and  on  the  drawing.  A  key  to  the  numbers  is  placed 
on  the  drawing.  In  addition  to  this,  the  card  record 


78  THE  EFFICIENT  PURCHASE  AND 

is  also  used  for  detailed  informations.  Such  a  drawing 
alone  presents  considerable  information. 

These  inventory  records  have  many  advantages.  In 
case  of  fire,  they  are  of  great  use  in  making  insurance 
adjustments.  In  case  of  breakdown,  there  need  be  no 
search  through  old  catalogues  to  get  information  as  to 
where  and  from  whom  new  parts  are  to  be  ordered. 
They  keep  the  management  informed  as  to  the  exact 
status  of  the  plant.  The  true  value  of  the  equipment, 
both  in  total  and  individual  items,  may  be  easily  ascer- 
tained, and  the  physical  assets  of  the  company  deter- 
mined at  any  time  with  very  little  work. 

Tools.  The  variety  of  tools  used  in  and  about  mines, 
unless  there  is  a  large  machine  shop  in  connection,  is 
not  very  great,  but  the  number  of  tools  is  at  times  very 
large.  One  seldom  finds  an  accurate  tool  record  sys- 
tem in  use  about  mines.  Tools,  like  materials,  represent 
money,  and  the  same  laws  which  apply  to  materials, 
also  apply  to  tools.  A  general  law  is,  that  when  a  tool  is 
not  in  use,  it  should  be  kept  in  some  proper  place.  The 
place  for  tools  not  in  use  is  the  tool-room.  Tools  that 
are  used  constantly  must  be  kept  in  a  place  convenient 
for  the  workmen.  The  location  of  these  places  depends 
entirely  upon  the  working  conditions  of  each  individual 
case.  A  large  bulk  of  the  tools  can  be  kept  in  a  central 
tool-room.  The  tools  should  be  so  arranged  in  this  room 
that  anyone  can  find  them,  even  if  he  is  a  comparative 
stranger  in  the  room.  The  records  must  be  so  arranged 
that  the  man  in  charge  knows  at  all  times  when  tools 
are  out,  and  in  whose  possession  they  are  to  be  found. 
Since  the  variety  of  tools  used  in  mining  work  is  not 


UTILIZATION  OF  MINE   SUPPLIES  79 

great,  it  is  not  difficult  to  arrange  such  a  room.  How- 
ever, when  a  large  machine  shop  is  run  in  connection, 
the  problem  becomes  more  complicated. 

Tools  in  the  tool-room  should  be  kept  in  good  con- 
dition. The  workmen  should  be  relieved  of  the  re- 
sponsibility of  caring  for  their  own  tools.  This  should 
be  a  separate  function.  A  workman  cannot  do  efficient 
work  unless  his  tools  are  in  first-class  condition,  and  the 
management  should  take  this  responsibility  upon  their 
shoulders.  There  should  always  be  a  plentiful  supply 
of  tools,  so  that  a  workman  should  at  no  time  fail  to  ob- 
tain one  when  needed.  The  workman  should  be  re- 
sponsible for  the  tool  after  he  has  received  it,  but  there 
should  be  no  unnecessary  trouble  to  get  it. 

For  the  average  mine  tool-room,  a  simple  method  of 
arrangement  as  to  classes  and  groups  will  be  sufficient. 
Proper  racks  or  boxes  should  be  made  for  each  kind  of 
tool.  Equally  as  important  as  to  be  able  to  find  a  tool 
in  the  tool-room  is  the  ability  to  tell  where  the  issued 
tools  are.  A  simple  but  efficient  method  is  one  where 
a  workman  is  provided  with  a  set  of  brass  checks  stamped 
with  his  number.  When  a  tool  is  issued  to  the  worker, 
this  brass  check  is  put  in  place  of  the  tool.  This  check 
acts  as  a  receipt  for  the  tool,  and  is  not  given  back  to 
the  workman  unless  he  returns  the  tool.  When  a  work- 
man calls  for  a  tool  which  is  not  on  hand,  one  can  soon 
tell  who  is  using  this  tool.  By  this  simple  scheme,  one 
can  keep  track  of  all  tools  out  of  the  tool-room.  When 
a  workman  leaves  the  employ  of  the  company,  he  must 
return  all  checks  to  the  tool-room  before  he  is  given  a 
clearance  paper. 


8o  THE  EFFICIENT  PURCHASE  AND 

Besides  keeping  track  of  the  tools,  a  system  should  be 
in  use  whereby  one  can  report  to  the  management  the 
kinds  and  makes  of  the  most  serviceable  and  profitable 
tools.  A  good  method  is  one  where  the  date  of  purchase 
and  the  name  of  the  firm  which  made  it,  if  not  already 
there,  is  stamped  on  the  tool.  Then  the  tools  may  be 
issued  under  comparison  a  number  of  times,  and  the 
management  can  soon  tell  which  makes  prove  the  most 
efficient  and  economical.  One  can  also  determine  the 
expenses  connected  with  tools,  and  what  workmen  are 
the  most  economic  users  of  tools. 

Oils  and  Lubricants.  Some  concerns  use  large 
amounts  of  oil  and  lubricants,  and  this  factor  a'ssumes 
considerable  importance  at  times.  Large  quantities  of 
oils  are  wasted  by  spillage  and  evaporation.  High- 
grade  oils  are  used  where  low  grades  would  do  as  well. 
Considerable  savings  in  lubricant  costs  might  result 
where  some  definite  oil  system  is  in  use. 

The  floor  of  the  special  oil  house  should  be  built  with 
a  sloping  floor,  of  concrete  or  cement,  with  a  drain  at 
one  end.  Any  waste  oil  will  then  drain  to  one  end  where 
it  may  be  collected  in  a  tank  set  under  the  floor.  This 
oil  is  easily  cleaned  for  re-use  by  passing  it  through 
an  oil  filter.  Drip-pans  should  be  placed  wherever 
practical,  and  the  drip  oil  cleaned  by  passing  it  through 
this  filter.  Large  concerns  find  it  convenient  to  make 
oiling  the  function  of  one  man  or  group  of  men.  Enough 
oil  for  a  shift  is  distributed  to  the  individual  lockers  of 
each  oiler.  The  cans  in  these  lockers  are  filled  by  certain 
men,  so  that  the  individual  oilers  need  not  go  to  the  oil 
house  for  their  supply.  Time  is  saved  by  this  method. 


UTILIZATION  OF  MINE  SUPPLIES  8 1 

It  also  fixes  the  responsibility  on  each  oiler  for  the  oil 
allotted  to  him.  The  man  in  charge  of  the  oil  house  has 
absolute  control  of  the  oil  issued,  so  that  he  can  keep 
accurate  records  of  oil  distribution.  Any  unused  oil 
is  emptied  into  a  surplus  can,  and  when  enough  has 
accumulated  for  a  shift's  work,  it  is  used.  The  daily 
issuing  record  is  kept  in  the  form  of  a  balance  record, 
and  may  be  checked  at  the  end  of  each  month  by  a 
physical  inventory,  since  errors  in  measurement  arise 
by  measuring  out  numerous  small  quantities  each 
day. 

Timber.  The  results  obtained  by  the  telegraph,  tele- 
phone, and  railroad  companies  in  the  preservation  of 
poles,  ties,  and  piles,  has  caused  the  preservation  of  tim- 
ber to  become  more  and  more  common  in  recent  years. 
However,  little  has  been  done  as  regards  mine  timber. 
Enormous  amounts  of  timber  are  used  in  and  about 
mines  and  the  study  of  preservation  of  such  timber 
should  be  made  an  important  subject.  The  U.  S.  De- 
partment of  Agriculture  and  the  Forest  Service  have 
conducted  some  experiments  and  gathered  statistics  on 
timber  preservation.  Several  bulletins  and  circulars 
have  been  issued.  By  far,  the  greater  amount  of  ex- 
perimenting and  application  has  been  done  in  Ger- 
many and  many  articles  have  been  published  on  that 
subject. 

Because  of  the  rapid  decay  of  timber,  especially  in 
coal  mines,  the  artificial  preservation  is  of  great  impor- 
tance, and  as  the  price  of  wood  is  increasing  day  by  day, 
it  will  soon  become  necessary  to  take  rigorous  steps  in 
that  direction.  Conditions  in  most  coal  mines  are  such 


82  THE  EFFICIENT  PURCHASE  AND 

as  to  favor  the  growth  of  wood-destroying  fungi.  If  the 
bark  is  peeled  from  the  timbers,  protection  is  offered 
against  damages  caused  by  insects,  but  the  only  remedy 
for  decay  is  the  impregnation  of  some  liquid  which  is 
poisonous  for  the  fungi.  The  following  is  a  brief  resume 
of  the  general  methods.  Only,  to  date,  satisfactory 
preservatives  for  mine  timber  are  discussed. 

The  three  general  methods  of  applying  the  preser- 
vative are: 

1.  Brush  Treatment.    This  method  has  several  dis- 
advantages. 

(a)  It  is  difficult  to  cover  completely  all  of  the  timber 
and  to  fill  all  checks  and  cracks. 

(6)  The  preservative  will  not  penetrate  deeply.  The 
cost  of  application  by  this  method  is  cheap,  but  little 
or  no  advantage  is  gained.  The  cost  of  treatment  is 
likely  to  be  higher  than  the  saving  which  results  from 
a  prolonged  life. 

2.  Open  Tank  Method.    The  timber  is  immersed  in 
the  solution  in  large  tanks,  for  a  suitable  length  of 
time.     Some  remarkable  results  have  been  achieved  in 
the  tests.     The  economic  success  of  the  practical  appli- 
cation will  depend  upon  the  cost  of  the  preservative. 

3.  Closed  Tank  Method.    The  greatest  impregnation 
is  obtained  by  this  method,  and  where  large  amounts 
of  timber  are  to  be  treated,  it  is  to  be  recommended. 
The  wood  is  placed  in  a  cylinder,  and  first  subjected  to 
a  high  vacuum.     This  rapidly  seasons  the  wood.     Then 
the  solution  is  sucked  into  the  cylinder,  and  when  filled, 
a  high  pressure  is  applied  by  means  of  an  air  pump. 
The  timber  is  removed,  and  the  water  of  the  solution 


UTILIZATION  OF  MINE   SUPPLIES  83 

allowed  to  evaporate,  which  leaves  the  salts  fixed  to 
the  fiber. 

Creosote  is  commonly  used  to  treat  timber  used  for 
telegraph  and  telephone  poles,  piles,  and  railroad  ties. 
For  timber  to  be  used  underground  in  mines,  it  has 
some  serious  disadvantages.  It  has  a  bad  effect  on  the 
eyes  and  skin  of  the  miners,  has  a  piercing  and  disagree- 
able odor,  and  many  men  decline  to  work  in  places  where 
the  timber  has  been  so  treated.  It  increases  the  fire  risk. 
The  timber  is  greatly  increased  in  weight.  As  regards 
the  prolongation  of  life,  creosote  is  a  good  preservative, 
but  because  of  the  above  disadvantages,  it  can  hardly 
be  considered  in  the  treatment  of  timber  for  mining 
purposes. 

The  knowledge  on  the  subject  to  date  would  seem  to 
advocate  but  two  kinds  of  preservatives,  viz.:  bichlo- 
ride of  mercury  and  sodium  fluoride.  The  fluoride  is 
not  applied  pure,  but  is  mixed  with  other  salts.  Wol- 
man's  experiments  have  produced  a  suitable  mixture. 
Both  of  these  are  strong  and  effective  salts,  and  but 
small  quantities  need  be  injected  into  the  wood.  The 
Wolman  mixture  is  economic  as  regards  price  and 
efficiency.  It  is  applied  hot,  and  when  great  quantities 
of  timber  are  to  be  treated,  the  vacuum  and  pressure 
method  should  be  used.  The  bichloride  of  mercury  is 
usually  used  in  the  open  tank  method. 

The  practical  applications  of  these  methods  show  that 
it  is  possible  to  economically  treat  mine  timber,  and 
where  the  timber  problem  is  an  important  one,  they 
certainly  should  be  investigated. 

The  following  formula  can  be  advantageously  used 


84  THE  EFFICIENT  PURCHASE  AND 

to  compare   the  economic  values  of  treated  and  un- 
treated timber: 

r  c 

A  =  c-(,-rr-.' 

where      ' 

C  =  initial  cost  of  timber,  per  unit  (treated  or  un- 
treated). 

r  =  rate  of  interest. 
n  =  life  of  timber  in  years. 

A  =  initial  cost  of  timber  plus  a  sum,  which  at  the 
end  of  n  years  will  accumulate  enough  inter- 
est so  that  a  new  unit  of  timber  can  be  bought 
with  this  interest. 

As  an  example,  assume  that  untreated  timber,  now 
in  use,  cost  10  cents  per  cu.  ft.,  and  that  its  life  is  2 
years.  How  much  can  we  afford  to  spend  for  treatment 
in  order  to  double  the  life  of  the  timber?  Rate  of  in- 
terest 5  per  cent. 

Solution: 

A  =  $0.10  - ^ *  $1.125. 

(i-o.os)2-! 

Hence,  if  C'  is  the  total  cost  of  treated  timber  per  unit, 

$1.125  =C'-? ^—. , 

(i-o.o5)4-i 

from  which  C'  —  $0.176. 

Therefore,  $0.176  less  $0.10,  the  initial  cost  of  timber, 
equals  $0.076,  equals  the  amount  we  can  afford  to  spend 
per  cu.  ft.,  for  treatment. 

Pipe  Lines.  In  arid  regions,  the  problem  of  pipe 
protection  against  alkaline  soils  becomes  a  serious  one. 


UTILIZATION  OF  MINE  SUPPLIES  85 

In  some  regions  the  percentage  of  chlorides  and  sul- 
phates in  the  soil  is  quite  high,  and  although  the  pipes 
are  heavily  coated  with  asphaltum  paint,  they  corrode 
rapidly  and  pit-holes  develop.  It  is  obvious  that  a 
protective  coating  which  will  double  or  triple  the  life 
of  a  pipe  is  an  important  factor. 

In  the  investigation  of  this  problem,  a  number  of 
coverings  have  been  developed.  Various  kinds  of  as- 
phaltum paints  have  been  used  without  any  very  great 
success.  Pipes  covered  with  crude  oil  after  being  placed 
in  a  ditch  immediately  rilled  with  earth  were  found  to 
soon  lose  the  oil  covering  by  reason  of  its  soaking  into 
the  sand  or  soil.  The  metal  was  left  as  badly  exposed 
to  the  alkali  as  without  a  preservative.  Quick  setting, 
bituminous  enamels,  if  heavily  applied,  give  fair  results. 
But  these  cannot  be  successfully  applied  to  a  moist 
pipe  or  when  the  temperature  of  the  pipe  is  below  60 
degrees  F.  The  enamel,  although  applied  heated,  soon 
becomes  chilled  and  is  hard  to  apply. 

The  most  successful  method,  and  one  extensively  used 
for  large  pipe  lines,  consists  in  covering  the  pipe  with 
especially  prepared  roofing  paper.  This  paper  is  made 
by  running  the  deadening  felt  through  a  mill  and  plung- 
ing it  into  a  number  of  baths  of  hot  asphaltum,  so  that 
the  fibers  are  thoroughly  impregnated  with  the  as- 
phaltum. In  some  cases,  asbestos  papers  are  similarly 
treated. 

The  paper  is  wrapped  spirally  about  the  pipe.  It 
can  be  obtained  in  any  desirable  width  from  3  to  12 
inches,  and  from  50  to  100  feet  in  length.  The  pipe  is 
coated  with  hot  asphaltum  and  before  it  has  had  time 


86  THE  EFFICIENT  PURCHASE  AND 

to  set,  the  wider  strips  are  wound  spirally  over  the  as- 
phaltum.  The  crack  which  is  left  between  each  wrap  of 
the  wide  strip  is  coated  with  hot  asphaltum  and  a  batten, 
or  3-in.  strip,  wound  on  to  cover  it.  At  the  joints,  3- 
in.  strips  are  stuck  together  with  asphaltum  and  are 
wound  around  the  pipe  at  either  side  of  the  collar,  un- 
til a  shoulder  is  built  up  flush  with  the  outer  circumfer- 
ence of  the  collar.  The  sleeve  and  shoulder  thus  built 
up  are  coated  with  hot  asphaltum  and  the  whole  cov- 
ered with  a  i2-in.  strip  of  paper.  The  last  strip  is  bound 
on  with  wire,  as  are  the  ends  of  the  paper  which  are 
wrapped  spirally. 

The  advantages  of  wood  pipe  for  water  transportation 
are  somewhat  offset  by  the  liability  to  rapid  decay. 
When  a  wood  pipe  is  thoroughly  saturated  with  water, 
and  not  exposed  to  the  air,  its  life  is  lengthened.  Pipes 
covered  with  clay  help  to  bring  about  this  condition. 
Clay  holds  moisture,  and  thus  means  continuous  and 
thorough  saturation  of  the  wood  at  the  surface  of  the 
pipe.  Moist  clay  is  not  a  good  culture  bed  for  the 
growth  of  fungi  that  cause  decay. 

Prevention  of  Corrosion  of  Iron  and  Steel.  Steel  is 
being  used  more  and  more  every  day  for  buildings, 
structures,  and  equipment.  The  decay  of  iron  and  steel 
by  corrosion  is  more  rapid  than  that  of  wood,  if  natural 
agencies  are  allowed  to  act  on  them.  On  the  preven- 
tion of  this  decay,  depends  the  permanency  of  the  work. 
The  size  and  consequent  high  cost  of  such  structures 
make  it  a  duty  to  preserve  them  from  decay. 

The  technical  preservation  of  iron  and  steel  presents 
a  great  many  separate  problems,  each  one  of  which  has 


UTILIZATION  OF  MINE  SUPPLIES  87 

special  considerations,  and  requires  different  treatment. 
The  protection  of  the  great  bulk  of  finished  iron  and 
steel  products,  must  inevitably  remain  a  paint  problem, 
and  the  discussion  will  be  limited  to  this  phase. 

A  general  statement  which  regards  corrosion  is  as 
follows:  "  Water  is  necessary  before  corrosion  can 
take  place,  since  this  is  the  medium  which  contains  or 
supplies  the  hydrogen  ions  which  are  necessary  for  the 
interchange  with  iron.  In  order  to  prevent  rusting, 
you  must  either  exclude  water  entirely,  or  have  some 
substance  present  which  will  prevent  the  formation  of 
hydrogen  ions.  The  only  way  in  which  this  problem 
can  be  solved  is  by  the  application  of  a  paint  which 
will  protect  the  iron,  by  being  absolutely  impervious  to 
water,  or  one  which  contains  in  itself  some  substance 
which  can  produce  the  passive  state." 

In  the  painting  of  iron  or  steel,  the  surface  should  be 
most  carefully  cleaned  from  all  scale,  rust,  dirt,  etc.,  and 
the  paint  should  be  applied  in  dry  weather.  No  paint- 
ing should  be  done  in  wet  or  freezing  weather.  When, 
for  any  reason,  it  is  necessary  to  repaint,  the  repainting 
should  be  done  on  clean  surfaces  absolutely  free  from 
all  rust,  paint  skins,  dirt,  etc.  It  is  not  sufficient  to 
apply  a  new  coat  over  an  old  paint  surface  under  which 
traces  of  corrosion  appear.  The  new  paint  may  cover 
the  old  surface  and  adhere  firmly  thereto,  but  the  cor- 
rosion goes  on  underneath  just  the  same. 

Any  single  variety  of  paint  cannot  fulfill  all  purposes 
for-  which  protective  paints  are  used.  Inhibitors  are 
substances  which  restrict  or  repress  corrosion.  An  in- 
hibitive  priming  coat  should  always  be  placed  between 


88  THE  EFFICIENT  PURCHASE  AXD 

the  steel  surface  and  the  rust-stimulating  pigments. 
This  inhibitive  coating  consists  of  compounds  of  the 
chromes,  zinc  oxide,  white  lead,  red  lead,  willow  charcoal, 
etc.  Over  this  priming  coat,  the  air  and  moisture  ex- 
cluding coats  can  be  safely  applied. 

Large  amounts  of  galvanized  iron  are  used  for  siding 
and  roofing  purposes.  In  order  to  secure  the  proper 
adhesion  of  paint  to  this,  several  different  methods  of 
preliminary  treatment  are  used  by  painters.  Vinegar, 
acid  salts,  ammonia,  sal  soda  are  generally  used.  The 
object  is  to  produce  a  slightly  roughened  surface  to 
which  the  paint  will  adhere.  As  a  matter  of  fact,  this 
can  be  done  away  with  by  the  use  of  a  primary  coat  of 
a  sharp-toothed,  silicious  pigment,  ground  in  varnish. 
This  should  be  well  brushed  onto  the  metal,  and  serves 
for  the  purpose  of  cementing  the  pigment  to  the  zinc. 
Any  subsequent  coats  of  paint  may  be  applied. 

Bituminous  coatings  undergo  certain  changes  under 
the  action  of  sunlight  and  air,  hence  their  successful 
application  has  been  confined  to  cases  in  which  sunlight 
is  excluded.  They  are  used  for  painting  pipe  lines, 
smoke  stacks,  tunnel  work,  and  piping  generally.  By 
mixing  lime  with  hot  coal  tar,  a  valuable  mixture  has 
been  produced  for  pipe  dipping.  Baked  japan  coat- 
ings are  much  in  use.  They  are  compounds  of  high 
grade  asphaltic  gums,  such  as  gilsonite  and  elaterite. 
The  material  to  be  coated  is  generally  heated  and  then 
dipped  into  the  hot  mixture. 

Properly  refined  coal  tar  makes  a  good  covering,  es- 
pecially for  metal  surfaces  which  are  subjected  to  the  ac- 
tion of  corroding  gases.  Crude  coal  tar  should  never  be 


UTILIZATION  OF  MINE  SUPPLIES  89 

used,  since  it  contains  elements  which  make  it  unsuit- 
able for  use  as  paint.  A  satisfactory  paint  is  produced 
by  cutting  moderately  hard  pitch  with  about  three- 
fourths  of  its  volume  of  light  oils.  Such  paint  may  be 
applied  cold  and  will  dry  in  a  comparatively  short  time. 

The  protection  of  iron  in  underground  workings  is 
a  difficult  problem.  Seepage  drippings  may  be  of  an 
extremely  corrosive  nature.  The  moisture  is  apt  to 
be  rich  in  chloride  and  other  corrosive  electrolytes. 
These  salts  act  to  remove  paint  coverings.  As  pre- 
viously stated,  a  properly  refined  coal  tar,  treated  with 
lime,  is  well  adapted  for  certain  conditions. 

Water  tanks  should  be  painted  on  both  the  inner  and 
the  outer  surfaces.  A  good  mixture  for  such  a  purpose 
consists  of  25  Ibs.  dry  red  lead,  5  Ibs.  litharge,  5  Ibs. 
iron  oxide,  one  gallon  boiled  linseed  oil,  and  one  gallon 
of  turpentine.  Three  coats  are  usually  given. 

In  recent  years  the  substitution  of  metal  supports  for 
underground  workings  to  replace  timber  has  been  much 
discussed,  and  in  some  cases  put  into  effect.  The  appli- 
cation of  economic  principles  to  the  use  of  such  metal 
supports,  demands  that  the  length  of  life  be  as  long  as 
can  possibly  be  obtained.  True  economy  will  require 
the  painting  of  all  steel  for  underground  operations  with 
one  shop  coat  of  good  paint  and  with  at  least  one  field 
coat.  Steel  should  not  be  painted  with  carbon  paints 
in  whose  manufacture  sulphuric  acid  has  been  used. 
The  use  of  improperly  refined  and  untreated  coal  tar 
products  should,  therefore,  be  avoided.  Natural  car- 
bons, such  as  graphite,  and  the  hydrocarbons,  such  as 
asphalt  and  gilsonite,  may  be  recommended  for  second 


QO  THE  EFFICIENT  PURCHASE  AND 

coat  work  if  properly  ground  and  mixed  with  a  good 
vehicle.  Red  lead,  although  not  absolutely  inhibitive, 
has  been  demonstrated  in  all  kinds  of  exposures,  to  be 
a  first-class  pigment.  The  oil  in  which  it  is  mixed 
should  be  pure,  and  the  raw  is  better  than  the  boiled. 
Steel  mine  supports  should  be  painted  at  the  shop  with 
one  coat  of  red  lead  and  raw  linseed  oil,  mixed  in  a  pro- 
portion of  15  Ibs.  red  lead  and  2  Ibs.  of  asbestine,  to  a 
gallon  of  pure,  raw  linseed  oil,  with  sufficient  japan  drier 
to  work  well  under  the  brush.  A  field  coat  of  first-class 
graphite  paint  is  then  applied. 

For  a  detailed  discussion  of  this  subject  one  should 
refer  to  the  Transactions  of  the  American  Society  for 
Testing  Materials. 

Fuel  Consumption.  At  most  of  the  metal  mines,  the 
fuel  item  is  one  of  great  importance.  Because  of  the 
temporary  character  of  most  of  the  mining  enterprises, 
the  boiler  and  engine  equipment  is  not,  in  all  cases,  of 
as  high  a  type  as  in  permanent  industrial  plants.  As- 
suming, however,  that  all  factors  have  been  taken  into 
consideration  in  the  purchase  and  erection  of  this 
equipment,  there  still  remains  the  great  difference  in 
fuel  consumption  when  boilers  are  fired  by  unskilled 
and  negligent  firemen  and  when  fired  by  trained,  first- 
class  firemen.  This  side  of  the  problem  only  will  be 
discussed. 

Losses  due  directly  to  the  improper  firing  of  the 
boiler  are: 

1.  Heat  carried  away  by  the  stack  gases. 

2.  Losses  caused  by  incomplete  combustion. 

3.  Loss  of  fuel  through  the  grate. 


UTILIZATION  OF  MINE  SUPPLIES  91 

4.  Unburned  fuel  carried  beyond  the  combustion 
chamber  in  the  form  of  soot  and  smoke. 

Coal  may  clinker  and  slag,  which  stops  the  admission 
of  the  right  amount  of  air  through  the  grate.  This  re- 
sults in  the  formation  of  CO  instead  of  CO2,  and  only 
one-third  of  the  heat  generated  by  perfect  combustion 
will  be  obtained.  Some  firemen  use  a  heavy  fire  bed, 
so  as  to  make  the  interval  between  firing  quite  long.  This 
gives  them  longer  periods  of  rest.  Some  firemen  turn 
the  fire  upside  down  and  mix  much  ash  with  the  white 
hot  coal,  every  time  they  use  the  slice  bar.  The  ash 
melts,  and  by  the  time  it  has  reached  the  grate,  it  has 
cooled  and  formed  slag  or  clinker  which  increases  the 
resistance  of  the  fuel  bed. 

Every  fireman  should  understand  that  just  as  much 
fuel  can  be  wasted  by  an  excess  of  air  which  comes 
through  uneven  and  too  thin  fires,  as  through  an  open 
furnace  door.  For  a  given  boiler,  quality  and  size  of  fuel, 
and  intensity  of  draft,  a  certain  depth  of  fuel  will  give 
maximum  efficiency.  Too  thin  a  fire  results  in  an  excess 
of  air,  and  too  thick  a  fire  in  a  deficiency.  The  economy 
is  lowered  in  either  case.  On  account  of  the  number 
of  conditions  upon  which  the  proper  thickness  depends, 
it  can  only  be  determined  for  a  particular  case  by  actual 
test.  In  general,  with  natural  draft,  fine  sizes  of  coal 
necessitate  thin  fires,  since  they  pack  so  closely  as  to 
greatly  restrict  the  draft.  Thin  fires  require  closer  at- 
tention to  prevent  holes  being  burned  in  spots,  and  re- 
spond less  readily  for  sudden  demands  for  steam,  but 
have  the  advantage  of  letting  the  air  required  pass 
through  the  grate;  whereas  thick  fires  often  require  air 


Q2  THE  EFFICIENT  PURCHASE  AND 

to  be  supplied  above  the  grate  to  insure  complete  com- 
bustion. Thick  fires  require  less  attention  and  hence 
are  preferred  by  firemen.  Where  sufficient  draft  is 
available,  thick  fires  are  more  efficient  than  thin  ones, 
as  the  air  excess  is  more  readily  controlled. 

In  order  to  secure  good  fuel  economy,  the  following 
points  should  be  adhered  to: 

1.  Large  lumps  should  be  broken,  as  they  do  not  ig- 
nite properly,  and  their  presence  causes  holes  to  form 
in  the  fire  which  allow  the  passage  of  too  much  air. 

2.  Ash  pits  should  be  kept  bright  at  all  times.     If 
they  become  dark,   it  is  evident  that  the  fire  needs 
cleaning,  which  if  not  done  will  cause  imperfect  com- 
bustion and  smoke.     Ashes  should  not  be  allowed  to 
accumulate  in  the  ash  pits,  as  they  not  only  shut  off  the 
air  supply,  but  may  cause  the  grate  to  be  burned. 

3.  In  firing  the  coal  should  not  be  landed  all  in  one 
heap,  but  it  should  be  spread  over  as  wide  a  space  as 
possible  as  it  leaves  the  shovel. 

4.  The  fresh  coal  should  be  placed  from  the  bridge 
wall  forward  to  the  dead  plate,  and  not  more  than  three 
or  four  shovels  added  at  a  charge.     Where  only  a  small 
capacity  is  required,  firing  by  the  coking  method  is  the 
best.  *  The  fresh  coal  is  placed  at  the  front  of  the  fire, 
and  pushed  back  and  leveled  when  it  becomes  coked. 

5.  One  side  of  the  boiler  should  be  fired  at  a  time,  so 
that  the  other  side,  which  contains  the  bright  fire,  will 
ignite  the  volatile  gases  from  the  fresh  charge. 

6.  The  fire  should  not  be  allowed  to  burn  down  dull 
before  charging.     If  this  is  done,  it  will  result  in  a  smoky 
stack  and  an  irregular  steam  pressure. 


UTILIZATION  OF  MINE   SUPPLIES  93 

7.  No  holes  should  be  allowed  to  form  in  the  fire.     If 
one  forms,  it  should  be  filled  by  leveling,  and  not  by  a 
shovelful  of  fresh  coal.     The  fire  should  be  kept  even 
and  level  at  all  times. 

8.  The  fire  should  be  carried  as  thick  as  the  draft 
will  allow.     If  the  draft  is  poor,  a  thin  fire  will  be  in 
order;  if  strong,  a  thick  fire  should  be  carried. 

9.  The  draft  should  be  regulated  by  the  bottom  or 
ash  pit  doors,  and  not  by  the  stack  dampers.     If  the 
stack  damper  is  used,  it  tends  to  produce  a  smoky  stack. 
The  closing  of  the  ash  pit  door  decreases  the  capacity 
to  burn  coal. 

10.  A  good  general  rule  is  to  fire  little  and  often, 
rather   than   heavy  and   seldom.     The   former   means 
economy  in  fuel  and  a  clean  stack,  while  the  latter  sig- 
nifies extravagance  in  fuel,  and  a  smoky  stack. 

General.  In  the  preceding  paragraphs,  on  methods 
of  preventing  waste,  the  most  important  items  of  a 
general  nature  were  discussed.  There  are  still  other 
items  of  extreme  importance  about  which  no  general 
statements  as  to  application  or  consumption  can  be 
made,  but  each  has  its  own  peculiar  characteristics  and 
features  which  must  be  studied  separately  for  each  case. 
To  discuss  these  in  detail  is  beyond  the  scope  of  this 
article. 

Among  such  items  of  importance  are  the  explosives. 
The  amount  and  quality  of  explosive  to  be  used  to  ob- 
tain the  most  economic  results  varies  with  each  instance. 
There  is  a  best  amount  and  a  best  quality  for  each  case, 
but  that  can  be  determined  only  by  actual  tests.  No 
specific  rules  will  hold  for  all  cases.  Where  no  tests  are 


94  THE  EFFICIENT  PURCHASE  AND 

made,  high-grade  explosives  may  be  in  use  where  a 
lower  grade  would  do  just  as  well;  also,  a  large  quantity 
may  be  used  where  a  small  quantity  might  render  good 
results.  This,  without  a  doubt,  is  an  important  sub- 
ject, and  the  time  consumed  to  make  specific  tests 
would  be  time  well  spent. 

Another  item  which  will  bear  investigation  is  that  of 
illumination.  At  stations  and  main  haulage  ways,  this 
problem  has  been  satisfactorily  solved  by  the  use  of 
electric  lights.  However,  in  stopes  and  other  workings, 
where  the  miner  carries  his  own  light,  one  is  confronted 
with  the  economic  consumption  of  candles  or  carbide. 
Where  the  issuance  of  candles  is  not  strictly  regulated, 
there  may  be  considerable  waste  because  of  the  following: 

1.  Too  many  candles  burned  at  once. 

2.  Unburned,  or  only -partly  burned,  candles  allowed 
to  become  covered  with  debris  and  thus  become  lost. 

3.  The  hiding  of  candles  for  future  use,  which,  how- 
ever, may  be  forgotten  and  thus  lost. 

4.  Actual  theft  of  candles. 

These  leaks  can  be  avoided  by  a  study  of  the  require- 
ments for  each  case,  and  the  issuance  regulated  accordingly. 

Carbide  lights  are  coming  more  and  more  into  use, 
particularly  since  these  lamps 'are  now  made  with  a 
hafted  holder,  which  resembles  that  of  the  candlestick. 
Better  light  is  given,  and  the  light  is  thrown  where  it  is 
wanted.  Some  companies,  which  have  made  tests  and 
where  the  use  of  carbide  lights  has  been  made  compul- 
sory, claim  that  in  the  long  run  carbide  is  more  eco- 
nomical than  candles. 


UTILIZATION  OF  MINE  SUPPLIES  95 

Still  another  economic  consideration  is  the  re-use  of 
old  materials,  and  the  sale  of  unusable  materials,  either 
new  or  old.  As  examples  which  we  have  observed,  we 
may  cite  the  use  of  old  rails  for  ties  or  reinforcements; 
the  cleaning  of  soiled  cotton  waste  and  its  re-use  for 
purposes  where  an  absolutely  clean  waste  is  not  essential. 
Every  mine  has  its  quota  of  discarded  material  which 
might  be  put  to  some  use  or  sold  to  an  advantage. 

Training  and  Loyalty  of  Workmen.  Where  no  records 
of  material  consumption  are  kept,  the  management  can- 
not determine  whether  or  not  a  workman  is  an  econom- 
ical and  efficient  user  of  tools  and  materials.  When  the 
workman  discovers  that  no  records  are  kept  by  the  man- 
agement, he  will  become  careless  in  the  use  of  materials, 
since  he  knows  that  he  can  obtain  additional  amounts 
without  trouble  or  quizzing.  He  will  know  that  he  will 
not  be  rewarded  if  he  takes  especial  care  to  prevent  waste 
of  material,  for  the  management  will  not  know  that  he 
is  endeavoring  to  economize. 

The  president,  board  of  directors,  and  the  manager  are 
the  brains  of  the  industry.  If  they  fulfill  their  proper 
functions,  they  will  directly  control  the  policies  of  the 
company  in  every  important  factor  of  its  activity.  The 
personal  ideas  of  these  men  permeate  throughout  the 
entire  works.  If  the  care  and  consumption  of  materials 
are  allowed  to  drift  along  in  a  haphazard,  and  often 
dangerous,  manner,  this  state  of  affairs  is  directly  charge- 
able to  the  management.  They  alone  are  responsible 
for  the  operations  of  the  concern  and  it  is  entirely 
within  their  control  to  alter  these  conditions.  Where 
the  highest  official  of  the  company  considers  the  material 


96  THE   EFFICIENT   PURCHASE  AND 

factor  an  unimportant  one,  it  will  likewise  be  so  con- 
sidered by  the  manager,  superintendent,  foremen,  shift- 
bosses,  and  workmen.  This  atmosphere  of  careless- 
ness, often  unconsciously  created,  will  invariably  lead 
to  a  condition  of  wastefulness  and  inefficiency  through- 
out all  the  operations. 

Operation  deals  entirely  with  the  human  element. 
The  degree  of  efficiency  betterment  will  depend  almost 
entirely  upon  the  training,  intelligence,  and  loyalty  of 
the  workers.  This  point  is  being  more  and  more  con- 
sidered every  day.  Where  we  have  a  group  of  loyal, 
first-class  men,  the  material  expense  will  be  much  lower 
than  where  we  have  a  group  of  untrained,  dissatisfied 
workers.  A  high  state  of  efficiency  will  cause  an  eco- 
nomic use  of  materials. 

There  is  less  waste  where  the  work  is  carefully  planned 
out  in  advance  by  men  who  are  especially  trained  to 
handle  the  function  of  planning.  The  materials  and 
tools  must  be  in  the  standard  condition  as  prescribed  by 
this  planning,  when  they  are  delivered  to  the  workers 
of  the  operating  department.  The  method  of  applying 
the  material  and  using  the  tools  should  be  carefully 
specified,  and,  whenever  possible,  these  instructions  given 
in  writing.  The  bosses  should  be  relieved  of  many  of 
their  functions,  and  their  main  function  should  be  that 
of  teacher  and  helper  to  the  workmen.  A  man  cannot 
efficiently  utilize  materials  unless  he  is  trained  in  the 
best  methods.  The  best  methods  should  be  determined 
by  the  management  and  these  taught  to  the  workers 
by  the  bosses.  Unless  the  relationship  between  bosses 
and  workers  is  changed  to  one  of  teacher  and  pupil,  we 


UTILIZATION  OF  MINE  SUPPirfcS\  :  '  97 

cannot  reach  the  highest  state  of  efficiency.  We  can- 
not obtain  this  relationship,  nor  can  we  get  a  worker  to 
follow  carefully  a  specified  set  of  instructions,  unless 
both  he  and  the  bosses  in  actual  charge  of  the  men  are 
paid  extra  for  the  special  effort.  Men  who  continu- 
ally work  in  a  haphazard  and  careless  manner  soon 
become  fixed  with  this  habit,  and  unless  some  special 
inducements  are  offered  to  comply  with  a  new  method, 
they  will  not  break  themselves  of  the  habit.  Even 
where  the  "  drive  method  "  is  used,  the  worker  will 
only  conform  to  the  new  instructions  as  long  as  he  is 
under  personal  supervision  and  as  soon  as  this  is  with- 
drawn, he  will  lapse  into  his  old  habits.  In  order  to  fix 
the  habit  of  using  less  wasteful  methods,  and  to  obtain 
co-operation,  we  must  give  the  worker  an  extra  induce- 
ment. 

To  summarize:  In  order  to  reduce  wastes  of  material 
due  to  the  human  factor,  we  must  have: 

1.  All  work  carefully  planned  out  in  advance. 

2.  Specifications  as  to  the  best  materials  and  tools 
to  be  used. 

3.  Carefully  drawn  instructions  of  how  to  use  and 
apply  the  tools  and  materials. 

4.  Materials  and  tools  must  be  delivered  to  the  worker 
in  the  standard  condition  specified. 

5.  Competent  instructors  to  teach  and  aid  the  worker 
to  follow  these  instructions. 

6.  Individual  records  of  each  worker  as  to  results. 

7.  Extra  pay  when  work  is  carried  out  as  per  instruc- 
tions. 


359.1  SJL 


UNIVERSITY  dF  CALIFORNIA  LIBRARY 


